A Forwand contracts have no defalt risk B Futures contracts roquire an initial margin requirement be paid. c Forward contracts are markod to market daily- D. Forward contract buyers and sellers do not know who the counterparty iS E. Fuures contracts are caly traded over the counter 18. You have agreed to deliver the underlying conmmodity on a futures contract in 90 days. Today the underlying commodity peice rises and you get a margin call. You must have A. a long position in a fatures contract B. a short position in a futures contract C. sold a forward contract D. purchased a forward contract E purchased a call option on a futures contract 19. You have taken a stock option position and, if the stock's price drops, you will get a level gain no matter how far prices fall, but you could go bankrupt if the stock's price rises. You have

Question
A Forwand contracts have no defalt risk
B Futures contracts roquire an initial margin requirement be paid.
c Forward contracts are markod to market daily-
D. Forward contract buyers and sellers do not know who the counterparty iS
E. Fuures contracts are caly traded over the counter
18. You have agreed to deliver the underlying conmmodity on a futures contract in 90 days. Today
the underlying commodity peice rises and you get a margin call. You must have
A. a long position in a fatures contract
B. a short position in a futures contract
C. sold a forward contract
D. purchased a forward contract
E purchased a call option on a futures contract
19. You have taken a stock option position and, if the stock's price drops, you will get a level
gain no matter how far prices fall, but you could go bankrupt if the stock's price rises. You have

Image Transcription

A Forwand contracts have no defalt risk B Futures contracts roquire an initial margin requirement be paid. c Forward contracts are markod to market daily- D. Forward contract buyers and sellers do not know who the counterparty iS E. Fuures contracts are caly traded over the counter 18. You have agreed to deliver the underlying conmmodity on a futures contract in 90 days. Today the underlying commodity peice rises and you get a margin call. You must have A. a long position in a fatures contract B. a short position in a futures contract C. sold a forward contract D. purchased a forward contract E purchased a call option on a futures contract 19. You have taken a stock option position and, if the stock's price drops, you will get a level gain no matter how far prices fall, but you could go bankrupt if the stock's price rises. You have

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