The Relationship of Forwards and Futures Is Best Represented by the Following

question 20

Multiple Choice

The relationship of forwards and futures is best represented by the following statement(s)

• A) If futures price movements and interest rate movements are positively correlated, then futures prices will be higher than forward prices.
• B) If futures price movements and interest rate movements are negatively correlated, then futures prices will be lower than forward prices.
• C) If futures price movements and interest rate movements are uncorrelated, then futures and forward prices will coincide.
• D) All of the above.

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Definitions:

TBSA

Total Body Surface Area, a measurement indicating the percentage of skin affected by burns or other skin injuries.

PPD

Purified protein derivative, a substance used in a test for tuberculosis by injecting it into the skin and observing the reaction.

Diagnosis

The process of determining the type of a disease or issue through the analysis of its signs.

Chickenpox

A highly contagious viral infection causing an itchy rash and flu-like symptoms, mainly affecting children.