A futures contract:
A)is tailor made to fit the needs of the buyer and the seller
B)has more price risk than a forward contract
C)is marked to market more frequently than a forward contract
D)has a shorter time to delivery than a forward contract

Question

Quizplus · Accepted Answer

Futures contracts are marked to market daily, while forward contracts are settled at maturity. Therefore, futures contracts are marked to market more frequently than forward contracts.

A Futures Contract