The BAB futures contract is for a standard parcel of 90-day bills with a face value of $1 million.
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Q25: Speculators buy futures contracts whereas hedgers sell
Q26: Futures are low-risk, low-return investments because no
Q27: Borrowers would set their hedge at the
Q28: Initial margins for various types of futures
Q29: 'Winners' in futures contracts receive back their
Q31: 'Novation' refers to the system of margin
Q32: A planned issue of $10million of BABs
Q33: BAB futures contracts can be used to
Q34: The primary futures contract for hedging exposure
Q35: The clearinghouse manages the default risk faced
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