Vidyalelo
Management · Q597

International Finance and Treasury

Graduate and Post Graduate · Management · question 597

Q597

Prices that are adjusted day to day to picture current conditions of futures markets are classified as

A.
market future prices
B.
market to market prices
Answer
C.
market to invest prices
D.
present market prices

Answer: Option B

Solution

Answer: Option B
Solution:
Prices that are adjusted day to day to picture current conditions of futures markets are classified as market to market prices. Mark to market (MTM) is a measure of the fair value of accounts that can change over time, such as assets and liabilities. Mark to market aims to provide a realistic appraisal of an institution's or company's current financial situation.