5. Why is the value of a futures or forward contract at the time it is purchased...

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5. Why is the value of a futures or forward contract at the time it is purchased equal to zero? Contrast this with the value of the corresponding spot commodity.

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An Introduction To Derivatives And Risk Management

ISBN: 9780324321395

7th Edition

Authors: Don M. Chance, Roberts Brooks

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Question Posted: Oct 18, 2024 08:00 AM

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5. Why is the value of a futures or forward contract at the time it is purchased equal to zero? Contrast this with the value of the corresponding spot commodity.
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5. Why is the value of a futures or forward contract at the time it is purchased...

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An Introduction To Derivatives And Risk Management

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