Commerce WAEC

A method of buying in anticipation of price fluctuation in the commodity market is?

A. speculation
B. arbitrage
C. contango
D. hedging

Correct Answer: Option A

A. speculation

Explanation

Speculation in regards to commodity market is the purchase of a commodity with the hope and expectation that, they may be variation or changes in prices of the said product. This normally happens when there is fear that they may be an upward turn or increase in price in future.

Sunday

Share
Published by
Sunday
Tags: Commerce

Recent Posts

List of Universities Offering Veterinary Medicine in Nigeria

Veterinary medicine is the branch of medicine that deals with the prevention, diagnosis, and treatment…

4 months ago

List of Universities Offering Anthropology in Nigeria

Anthropology is the scientific study of human beings and their cultures. It encompasses a wide…

4 months ago

List of Universities Offering Sociology in Nigeria

Sociology is the scientific study of human society, culture, and behavior. It examines the social…

4 months ago

List of Universities Offering Social Work in Nigeria

Social Work is a profession dedicated to helping individuals, families, and communities to cope with…

4 months ago

List of Universities Offering Religious Studies in Nigeria

Religious studies is an academic discipline that explores the beliefs, practices, and history of various…

4 months ago

List of Universities Offering Public Administration in Nigeria

Public administration is the field of study and practice that focuses on the organization and…

4 months ago