Forward contracts:
A. contain a commitment to the owner, and are standardized.
B. contain a commitment to the owner, and can be tailored to the desire of the owner.
C. contain a right but not a commitment to the owner, and can be tailored to the desire of the owner.
D. contain a right but not a commitment to the owner, and are standardized.
Answer:B
Forward contracts:
A. contain a commitment to the owner, and are standardized. B. contain a commitment to the owner, and can be tailored to the desire of the owner. C. contain a right but not a commitment to the owner, and can be tailored to the desire of the owner. D. contain a right but not a commitment to the owner, and are standardized.