Which of the Following Would Result in a Profit of a Futures

question 141

Multiple Choice

Which of the following would result in a profit of a futures contract when the underlying currency depreciates?

• A) Buy a futures contract; sell a futures contract after the currency has depreciated
• B) Sell a futures contract; buy a futures contract after the currency has depreciated
• C) Buy a futures contract; buy an additional futures contract after the currency has depreciated
• D) None of the above would result in a profit when the underlying currency of the futures contract depreciates.

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Definitions:

Ectopic Pregnancy

A condition where a fertilized egg implants and grows outside the main cavity of the uterus, commonly in a fallopian tube.

Implantation

The process by which a fertilized egg attaches itself to the lining of the uterus, beginning the stages of pregnancy.

Fallopian Tube

A pair of tubes along which eggs travel from the ovaries to the uterus.

Mammogram

An x-ray examination of the breast used to detect and diagnose breast diseases, especially breast cancer, in women.