Mark-to-market is a term in the futures market that means that:
A) gains and losses are taken immediately on delivery of the contracts
B) gains and losses are taken at the end of the day on contracts
C) gains and losses are taken every hour on contracts
D) gains and losses are taken on the delivery date on contracts

Question

Quizplus · Accepted Answer

Mark-to-market refers to the practice of recording the value of an asset to reflect its current market levels. In the context of the futures market, this means that gains and losses on contracts are accounted for at the end of each trading day based on the closing market prices, not hourly, immediately upon delivery, or solely on the delivery date.

Mark-To-Market Is a Term in the Futures Market That Means