The Return on a Futures Contract Is Calculated as

question 101

Multiple Choice

The return on a futures contract is calculated as

• A) (purchase price - selling price)/purchase price.
• B) (selling price - purchase price)/purchase price.
• C) (purchase price - selling price)/margin deposit.
• D) (selling price - purchase price)/margin deposit.

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Definitions:

Milligram

A unit of mass equal to one thousandth of a gram, used in measurements of small quantities.

Combining Form

A term used in the construction of medical and scientific terminology, indicating the combination of root words to form new meanings.

Suffix

A letter or group of letters added at the end of a word to form a new word, often to indicate a type of word like a noun or adjective.

Consonant

A class of speech sounds made by closing or partly closing the air passageway.