Futures Contracts Have Two Sources of Return Namely the Capital

question 82

True/False

Futures contracts have two sources of return namely the capital gains that can be earned when prices move in a favorable fashion, and dividend income from the underlying asset.

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Definitions:

Top Executives

Individuals who hold the highest-level management positions within a company, responsible for developing strategies, making major decisions, and overseeing the entire organization's operations.

Gain-Sharing Plans

A compensation strategy where employees receive benefits directly as a result of cost-saving measures they have contributed to.

Individual Rewards

Compensation or recognition given to employees based on their individual performance or achievements.

Goal-Sharing Plans

Programs that encourage and reward employees for contributing to and achieving the company's objectives, often through financial incentives.