Question: Instruction: briefly explain why! (No more than 4 lines!) Which of the following statements is least accurate? A. Forward contracts are not commitment to transact
Instruction: briefly explain why! (No more than 4 lines!)
Which of the following statements is least accurate?
A. Forward contracts are not commitment to transact in the future since a default can occur.
B. A forward contract does not carry a value at initiation, but its value can change at any time before expiration.
C. Forward contracts are easier to tailor to specific needs since they are private agreements.
D. A Forward contract cannot expire in long and short positions profits.
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