The climate in southern Florida is subtropical and humid, with temperatures ranging from 60F (16C) in midwinter (which is peak tourist season) to around 80F (27C) in summer.he climate in southern Florida is subtropical and humid, with temperatures ranging from 60F (16C) in midwinter (which is peak tourist season) to around 80F (27C) in summer.
DEFINITION of 'Forward Contract'. A customized contract between two parties to buy or sell an asset at a specified price on a future date. A forward contract can be used for hedging or speculation, although its non-standardized nature makes it particularly apt for hedging.Unlike standard futures contracts, a forward contract can be customized to any commodity, amount and delivery date.REAKING DOWN 'Forward Contract'. Consider the following example of a forward contract. Assume that an agricultural producer has 2 million bushels of corn to sell six months from now, and is concerned about a potential decline in the price of corn.
1CHAPTER 34VALUING FUTURES AND FORWARD CONTRACTSA futures contract is a contract between two parties to exchange assets or servicesat a specified time in the future at a price agreed upon at the time of the contract.ow a Futures Contract works There are two parties to every futures contract-the seller of the contract, whoagrees to deliver the asset at the specified time in the future, and the buyer of the contract,who agrees to pay a fixed price and take delivery of the asset.