[Answered] Why is a forward contract also known as a derivative asset?[br][br][b][color=#165FFA]Question ...

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pane00

Hero Member
Posts: 579

on: Jun 30, 2018

Why is a forward contract also known as a derivative asset?

Question 2

A monopolist faces the market demand curve.
a. True
b. False
Indicate whether the statement is true or false

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tennis14576

Sr. Member
Posts: 334

Reply #1 on: Jun 30, 2018

Answer to Question 1

The value of future delivery in a forward contract depends on the market price of the commodity. Hence, it is considered to be a derivative asset.

Answer to Question 2

True

pane00

Member
Posts: 579

Reply 2 on: Jun 30, 2018

Thanks for the timely response, appreciate it

CAPTAINAMERICA

Member
Posts: 325

Reply 3 on: Yesterday

TYSM

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