The total count of all the contracts and options such as call, put and futures outstanding at the start of working day is classified as __________?
Correct answer: D. open interestInvesting
- A. non clearing interest
- B. clearing interest
- C. close interest
- D. open interestInvesting
Explanation
Open interest is the total number of outstanding futures and options contracts that have not yet been closed or settled. It is measured at a point in time, such as the beginning of a trading day.
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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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