The main difference between a forward contract and a cash transaction is:
A) a forward contract provides an option while a cash transaction is an obligation.
B) a forward contract is fulfilled at a later date while the cash transaction is carried out immediately.
C) the price of a forward contract is decided at a later date while a cash transaction occurs at the current spot rate.
D) a cash transaction can be reversed but a forward contract cannot.
E) the forward contract can be negotiated while a cash transaction cannot.
B) a forward contract is fulfilled at a later date while the cash transaction is carried out immediately.
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