Commodity contracts 1.are bought and sold through commodity exchanges
2) are considered to be speculative investments
3) permit investors to take either long or short positions
A) 1 and 2
B) 1 and 3
C) 2 and 3
D) all of these choices
Correct Answer:
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Q25: A futures contract to take delivery is
Q32: Speculators take the opposite positions of hedgers.
Q34: The maximum daily price increase that is
Q35: Futures contracts offer the advantage of
A)potential leverage
B)liquidity
C)safety
D)tax
Q37: If a speculator is short and the
Q38: Investing in futures is
A)investing in physical goods
B)entering
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Q42: A swap agreement may be used to
Q42: An individual with a large stock portfolio
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