Which of the following option is false? Select the most suitable answer. O a. A 1-year forward contract is an agreement where one counterparty has the obligation to buy an asset for the market price in 1-year time from the other counterparty. O b. Forward contracts are negotiated before inception. O c. Forward contracts are not traded in any exchanges across the world. O d. Forward contracts are popular in foreign exchange market. O e. The value of short forward increases as the price of the asset decreases. Which of the following option is false? Select the most suitable answer. O a. For hedging purpose, forward contracts are designed to neutralize risk by fixing the price that the hedger will pay or receive for the underlying asset. O b. There is no guarantee that the outcome with hedging will be better than the outcome without hedging. O c. Hedgers use derivatives to reduce the risk that they face from potential future movements in a market variable. O d. Arbitrageurs use derivatives to bet on the future direction of a market variable. O e. For hedging purpose, options offer a way for investors to protect themselves against adverse price movements in the future while still allowing them to benefit from favourable price movements