Sam MOnammed AISaadi Identify the incorrect statement from the following: If there is a delay in the customer payment of a period more than three months then the receivable need to discounted to present values Noncash consideration can be part of contract as pér IFRS 15 The transaction price is not always set by the parties to the contract. In such case estimates can be used to determine transaction price. The transaction price may have variable consideration

Answer the below questions.     (a) For a single-name credit default swap, what is the difference between physical settlement and cash settlement?     .     (b) In physical settlement, why is there a cheapest-to-deliver issue?

8) Most futures contracts are closed by a. Delivery of the underlying asset. b. Placing an offsetting order. c. Exercise of the embodied option. d. Default. e. none of the above. 9) Which of the following is not a forward contract? a. a long-term employment contract at a fixed salary. b. an automobile lease non-cancellable for three years. c. a down payment to rent an apartment. d. a signed contract to buy a house in six months. e. none of the above. 10) In a futures marking-to-market, when the trader receives a margin call, the amount he must deposit is called: a. the initial margin. b. the maintenance margin. c. the variation margin. d. the margin balance. e. none of the above. 11) If the initial margin of a futures contract is $5,000 and the maintenance margin is $3,500, how much must you deposit at the start of the contract? a. $5,000 b. $3,500 c. $8,500 d. $0.000 e. none of the above. 12) If the initial margin is $5,000, the maintenance margin is $2,500 and your margin balance is…

Which of the following statements is most accurate?   A stop-sell order is placed by a bullish investor above the current market price. A stop-buy order is placed by a bearish investor above the current market price. A stop-sell order is placed by a bearish investor below the current market price. A stop-sell order is placed by a bullish investor at the current market price. A stop-sell order is placed by a bearish investor at the current market price.