Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Explain Futures Contracts Include: Why is actual delivery rare? (For example, you change the long position to a short position on a futures contract (

Explain Futures Contracts Include:

  • Why is actual delivery rare? (For example, you change the long position to a short position on a futures contract ( the position closes ). )
  • Daily Resettlement (if the price decreases, the long pays the short).
  • What does it mean that one contract is for a fixed amount of the underlying asset.
  • Currency Future Quotes- Daily change (Effect on long position and short position)/ Number of open markets

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Students also viewed these Finance questions

Question

Explain the factors influencing wage and salary administration.

Answered: 1 week ago

Question

Examine various types of executive compensation plans.

Answered: 1 week ago

Question

1. What is the meaning and definition of banks ?

Answered: 1 week ago