Question: Pick the single correct statement below: a . If you have a long position in a forward contract, your profit decreases with the price of
Pick the single correct statement below:
a If you have a long position in a forward contract, your profit decreases with the price of the underlying asset.
b The cost into entering into a long position in a new forward contract is higher than the cost of a call option.
c Future contracts bear more credit risk than forward contracts.
d If you have a short position in a futures contract, your profit decreases with the price of the underlying asset.
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