The prices that are adjusted day to day to picture the current conditions of future markets are classified as __________?
Correct answer: B. market to market prices
- A. market future prices
- B. market to market prices
- C. market to invest prices
- D. present market pricesHire An Accountant
Explanation
Mark-to-market prices are adjusted daily to reflect current market conditions and are used for daily settlement of futures positions. The option's wording is an imprecise form of the standard term “mark-to-market prices.”
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About Business Finance
Business finance explains how organisations plan, obtain and use money while balancing risk, return and liquidity. Topics include financial statements, time value of money, budgeting, working capital, capital structure, sources of finance, investment appraisal and cost of capital. Capital budgeting evaluates long-term projects, whereas working capital manages day-to-day operations.
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