A Small Commitment Fee Needed to Purchase a Futures Contract

question 52

Multiple Choice

A small commitment fee needed to purchase a futures contract is called a _____.

• A) margin
• B) speculator
• C) short position
• D) long position
• E) marked-to-market

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Definitions:

Capital Mobility

The ease with which financial assets or capital can move between countries without barriers, affecting investments and economic policies.

Foreign Competition

Refers to the competition that domestic companies face from companies located in other countries.

Financial Opportunities

Prospects or chances for individuals or organizations to gain financial benefits or profits, often through investments, business ventures, or other economic activities.

Distribution of Power

The way in which authority, control, and decision-making capabilities are allocated and exercised across different levels within an organization or society.