Commodity options:
A) Allow traders to bet on the price of a futures contract going higher or lower
B) are the right to buy or sell a futures contract
C) are the obligation to buy or sell a futures contract
D) both A and B
Correct Answer:
Verified
Q22: A speculator strives to:
A) make money on
Q23: A hedger strives to:
A) make money on
Q24: Basis is the difference between:
A) the futures
Q25: The price of a futures contract
A) does
Q26: Hedging is used to:
A) lock in prices
Q28: A strike price is a:
A) cash price
B)
Q29: Calls are:
A) purchased when the futures price
Q30: Puts are:
A) purchased when the futures price
Q31: One dollar today is:
A) worth more than
Q32: Present Value is:
A) the value of one
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