Assume the holder of a futures position negotiates off the floor of the exchange with the...
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Assume the holder of a futures position negotiates off the floor of the exchange with the holder of a short futures position to accept delivery to close out both the long and short positions. Which of the following statements about the transaction is true? The transaction is: Select one: O a known as cash settlement O b. known as an exchange for physicals O c. not a legal transaction: US. Federal law requires that all transactions take place on the floor of the exchange O d. known as delivery Assume the holder of a futures position negotiates off the floor of the exchange with the holder of a short futures position to accept delivery to close out both the long and short positions. Which of the following statements about the transaction is true? The transaction is: Select one: O a known as cash settlement O b. known as an exchange for physicals O c. not a legal transaction: US. Federal law requires that all transactions take place on the floor of the exchange O d. known as delivery
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Answer The correct Option is b known as an exchange f... View the full answer
Related Book For
Financial Institutions, Markets and Money
ISBN: 978-1119330363
12th edition
Authors: David S. Kidwell, David W. Blackwell, David A. Whidbee, Richard W. Sias
Posted Date:
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