If the investor's account balance does not meet the maintenance margin of roughly 65% of the amount deposited as initial margin, they will
A) be forced to sell the futures contract
B) receive a margin call from the broker
C) convert the contract to risk free securities
D) banned from future trading on the exchange
Correct Answer:
Verified
Q2: The process of adjusting the equity in
Q3: The term "futures" is short for futures
A)
Q4: A fried chicken restaurant buys chicken futures.
Q5: When the settlement price rises, the mark
Q6: Each futures exchange has an associated _
Q8: _ buy and sell futures contracts to
Q9: Unlike an options contract, futures contracts _
Q10: The term open interest refers to the
Q11: Other types of futures include currency futures
Q12: A CBT futures contract does not specify
A)
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