Which of the following statements regarding a futures trade of a deliverable contract is FALSE()
A: The long is obligated to purchase the asset.
B: The short is obligated to deliver the asset.
C: Equilibrium futures price is known only at the end of the trading day.
A: The long is obligated to purchase the asset.
B: The short is obligated to deliver the asset.
C: Equilibrium futures price is known only at the end of the trading day.
举一反三
- Which of the following statements explains a characteristic of futures pricelimits? Price limits: A: help the clearinghouse manage its credit exposure. B: can typically be expanded intra-day by willing traders. C: establish a band around the final trade of the previous day.
- A __________ gives its holder the right to sell an asset for a specified exercise price on or before a specified expiration date. A: call option B: futures contract C: put option D: interest rate swap
- As the convenience yield increases, which of the following is true? A: The one-year futures price as a percentage of the spot price increases B: The one-year futures price as a percentage of the spot price decreases C: The one-year futures price as a percentage of the spot price stays the same D: Any of the above can happen E: None of the above
- To the holder of a long position, it is more desirable to own a forward contract than a futures contract when interest rates and futures prices are: A: negatively correlated. B: uncorrelated. C: positively correlated.
- 15, A _______ contract on a commodity is a commitment to _____ or receive a specific quantity and quality of a commodity during a designated month at a price determined by the futures market. (future / futures)