This topic contains a solution. Click here to go to the answer

Author Question: One of the biggest differences between a futures option and a futures contract is that (Read 859 times)

frosh101

  • Full Member
  • ***
  • Posts: 140

Question 1

Mr. Lecourt sells short one contract for September delivery of 125,000 euro for $134,375.  Mr. Lecourt covers his short when the exchange rate is $1.15 per euro.  Mr Lecourt
◦ loses $9,375.
◦ loses $18,750.
◦ loses $143,750.
◦ gains $143,750.

Question 2

One of the biggest differences between a futures option and a futures contract is that
◦ the option limits the loss exposure to the price of the option.
◦ the futures contract limits the loss exposure to the price of the contract.
◦ an option can be traded on the secondary market, whereas a futures contract cannot.
◦ a futures contract can be traded on the secondary market, whereas an option cannot.


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by frosh101 on Mar 29, 2022

Preeti

  • Full Member
  • ***
  • Posts: 163
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
Answer Preview
Only 59% of students answer this correctly




frosh101

  • Member
  • Posts: 140
Reply 2 on: Mar 29, 2022
YES! Correct, THANKS for helping me on my review


olderstudent

  • Member
  • Posts: 339
Reply 3 on: Yesterday
Excellent

 

Did you know?

To combat osteoporosis, changes in lifestyle and diet are recommended. At-risk patients should include 1,200 to 1,500 mg of calcium daily either via dietary means or with supplements.

Did you know?

About 100 new prescription or over-the-counter drugs come into the U.S. market every year.

Did you know?

Pregnant women usually experience a heightened sense of smell beginning late in the first trimester. Some experts call this the body's way of protecting a pregnant woman from foods that are unsafe for the fetus.

Did you know?

Colchicine is a highly poisonous alkaloid originally extracted from a type of saffron plant that is used mainly to treat gout.

Did you know?

Excessive alcohol use costs the country approximately $235 billion every year.

For a complete list of videos, visit our video library