The dollar amount upon which a contract is valued is referred to as the:
A)settlement price
B)initial margin
C)strike price
D)notional amount

Question

Quizplus · Accepted Answer

The notional amount is the dollar amount upon which a contract is valued. The settlement price refers to the final price at which a contract is settled, the initial margin is the amount of collateral required to initiate a contract, and the strike price is the fixed price at which the buyer of an option has the right to purchase or sell the underlying asset.

The Dollar Amount Upon Which a Contract Is Valued Is