Which one of these statements related to forward contracts is correct? the buyer of a forward contract on corn benefits if the price of corn increases during the contract period. the buyer of a forward contract has the right, but not the obligation, to execute the contract any time up to and including the settlement date. forward contracts cannot be sold but must be executed by the original parties to the contract. forward contracts recognize profits and losses on a daily basis. the price at which a forward contract closes is set equal to the closing spot price on the settlement date.

Christopher kim, cfa, is a banker with batts brothers, an investment banking firm. kim follows the energy industry and has frequent contact with industry executives. kim is contacted by the ceo of a large oil and gas corporation who wants batts brothers to underwrite a secondary offering of the company's stock. the ceo offers kim the opportunity to fly on his private jet to his ranch in texas for an exotic game hunting expedition if kim's firm can complete the underwriting within 90 days. according to cfa institute standards of conduct, kim: a) may accept the offer as long as he discloses the offer to batts brothers.b) may not accept the offer because it is considered lavish entertainment.c) must obtain written consent from batts brothers before accepting the offer.