A ________ contract is often used for hedging and is an exchange-traded agreement to purchase an asset at some future date at a price that is locked in today.
A)call option
B)futures
C)put option
D)long term
E)storage

Question

Quizplus · Accepted Answer

The description given in the question matches the characteristics of a futures contract. Therefore, the correct choice is B, futures.

A ________ Contract Is Often Used for Hedging and Is