A party to a futures contract can liquidate the position by:
A) Taking an offsetting position in the same contract.
B) Waiting until the settlement date.
C) Walking away from the futures contract.
D) a and b only.
E) All of the above.

Question

Quizplus · Accepted Answer

A party to a futures contract can liquidate their position either by taking an offsetting position in the same contract or by waiting until the settlement date. Walking away from the contract is not an option without potential legal and financial consequences.

A Party to a Futures Contract Can Liquidate the Position