age of over-the-counter products such as swaps or forwards contracts, relative to exchange-traded products such as options or futures, is: a. regulation. b. standardisation. c. flexibility. d.

A futures contract a. is not traded on an organized exchange and is customized to meet the needs of the parties. b. is not traded on an organized exchange and is subject to formal regulations which results in standardized contrasts. c. is traded on an organized exchange and is subject to formal regulations which results in standardized contrasts. d. is traded on an organized exchange and is customized to meet the needs of the parties.

Question 51 occurs when market participants observe returns on a security that are larger than what is justified by the characteristics of that security and quickly act to eliminate the unexploited profit opportunity. Asset capitalization Mediation Arbitrage O Market intercession

A swap contract Select one: A. relates to the trading of an asset owned by one company for another owned by a second company. B. is an arrangement between two or more parties to exchange future cash flows. C. can be used to increase or decrease the ratio of fixed and variable interest costs in its cost structure. D. Both B and C are true.

The bid-ask spread:   a. Includes a transaction cost component to compensate liquidity providers for their operational costs   b. Includes an adverse selection component to compensate liquidity providers for the risk of trading with informed traders   c. Includes a bid-ask bounce component to compensate liquidity providers for volatility   d. (a) & (b)   e. (a), (b) & (c)

What apparatus exists to facilitate purchases and sales of futures contracts?

Exchanges are different than Over the counter markets because on exchanges   A. Futures contracts are standardized   B.  All of the Above   C. Futures require margin   D. Futures are traded on an exchanges that clear

The dominant organized options exchange is what?

Please answer the question attached in the picture below.

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