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Author Question: Why is a forward contract also known as a derivative asset?[br][br][b][color=#165FFA]Question ... (Read 50 times)

pane00

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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

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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

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Reply 2 on: Jun 30, 2018
Great answer, keep it coming :)

debra928

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Reply 3 on: Yesterday
Excellent

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