Question

In futures market, "mark to market" means that each day any profits or losses are calculated...

In futures market, "mark to market" means that each day any profits or losses are calculated and your account is adjusted accordingly.

True

False

Homework Answers

Answer #1

This statement is true
In future contract-At the end of each day profit and loss is settled between buyer and seller.
In future contract are Marked to market on a  daily basis.
Marked to market prevents the accumulation of losses.
Future contract are standardized contract between buyer and seller to purchase or selling the securities on a specified amount and specified date through Exchange.

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