Which Statement Best Describes Forward And/or Futures Contracts

question 7

Multiple Choice

Which statement best describes forward and/or futures contracts?

• A)One advantage of forward contracts is that they are default free.
• B)Futures contracts generally trade on an organized exchange and are marked to market daily.
• C)Goods are never delivered under forward contracts, but are almost always delivered under futures contracts.
• D)While futures contracts can be constructed to accommodate both parties, forward contracts are standardized.

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Definitions:

Unconscious Pattern

Behaviors, thoughts, or emotions that operate below the level of conscious awareness, influencing an individual's actions and reactions.

Individuation

Individuation refers to the psychological process of integrating the conscious and unconscious parts of oneself, leading to a whole and unique individual identity.

Cultural Bias

The inclination to judge people or traditions based on the standards and customs of one's own culture, which can affect perception and decision-making.

Spirituality

The quality or state of being concerned with religion or religious matters; it can also encompass personal growth, inner peace, and a connection to something greater than oneself.