A seller of a put option on a futures contract obligates them to buy a futures contract should the put buyer exercise the option.
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Q25: Lower transaction costs are one advantage of
Q26: Derivatives permit investors to manage their risk
Q27: Short selling is a high risk activity.
Q28: A risk premium is the additional return
Q29: Storing an asset entails risk.
Q31: Uncertainty of future sales and cost of
Q32: A call option on a futures contract
Q33: Options,forwards,swaps,and futures are financial assets.
Q34: Swaps,like options,trade on organized exchanges.
Q35: Derivative markets make stock and bond markets
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