Which of the following is unique to the cash market, as opposed to the futures market?
A) organized exchanges are used only in the cash market
B) contracts are standardized only in the cash market
C) pricing and delivery occur at the same time in the cash market
D) buyers are insured against losses only in the cash market

Question

Quizplus · Accepted Answer

In the cash market, transactions are settled immediately (or very shortly after the transaction), meaning pricing and delivery occur simultaneously. Futures markets involve contracts for future delivery, so pricing and delivery do not occur at the same time.

Which of the Following Is Unique to the Cash Market