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CTP · Question #782

(Topic 8) A farmer who plans to sell his/her corn crop in three months would benefit MOST from which of the following?

The correct answer is D. A short futures contract and falling prices. See the full explanation below for the reasoning.

Question

  • (Topic 8)

A farmer who plans to sell his/her corn crop in three months would benefit MOST from which of the following?

Options

  • AA long futures contract and falling prices
  • BA long futures contract and steady prices
  • CA short futures contract and rising prices
  • DA short futures contract and falling prices

How the community answered

(23 responses)
  • A
    4% (1)
  • B
    13% (3)
  • C
    9% (2)
  • D
    74% (17)

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