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1. When calculating a local basis, the trader must take into consideration a number of variables. Briefly describe each of the variables that can influence the basis.
2.Why do commodity traders prefer to transact using the basis?
3.Futures contracts are standardised instruments. What things are standardised? What things are not?
4.Differentiate between hedgers and speculators. What do speculators bring to the market?

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Operation Management, Management Studies

Category:- Operation Management
Reference No.:- M9699497

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