A company has entered into a forward contract for the purchase of gold, in 2 years, for $1300/oz. Does this arrangement meet the definition of a derivative? Analyze all required parts of the definition. (You may simply refer to the guidance excerpts included within this chapter to respond.)

Answer rating: 100% (QA)

As per FASB Codification ASC 815101583 a derivative may be a financial instrument or other contract ... View the full answer