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    Question

    Which of the following is NOT an example of a forward

    contract?┬а
    A An agreement to buy a house in the future at a specified price. Correct Answer Incorrect Answer
    B An agreement to buy a concert ticket at a future date for a certain price Correct Answer Incorrect Answer
    C An agreement to buy the modular kitchen set-up today at the posted price. Correct Answer Incorrect Answer
    D An agreement to subscribe to OTT network at a specified price at a future date Correct Answer Incorrect Answer
    E All are forward contracts Correct Answer Incorrect Answer

    Solution

    A forwards is a derivative contract between two parties where they agree to buy/sell the underlying asset in future at a pre-decided price.┬а Option c is a contract for present and not future.

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