Trading in the futures market

a.

occurs for all contracts during the normal trading hours of 9:30am to 4:00pm.

b.

is totally automated using the electronic system supplied by the CBT.

c.

includes calls but no puts on futures contracts.

d.

is done under a system where demand and supply set the contract price.

If, as an individual investor, you want to buy a futures contract, you can do so by

a.

going through a local brokerage office, just as you would for a stock purchase.

b.

attending one of the open outcry auctions.

c.

putting a bid in with the Federal Reserve Bank.

d.

directly calling the Chicago Board of Trade (CBT) or one of the other organized commodities exchanges.

Which one of the following statements concerning interest rates is correct?

a.

Economic expansions will cause interest rates to decline.

b.

Rising interest rates in foreign countries will cause U.S. interest rates to decline.

c.

A decrease in the money supply will cause interest rates to decline.

d.

A federal budget surplus will cause interest rates to decline.