The main disadvantage of hedging with futures contracts as compared to options on futures contractsis that futures

increase the transactions cost.

remove the possibility of gains.

are not as an effective a hedge.

do not remove the possibility of losses.

The main disadvantage of hedging with futures contracts as compared to

1.	The main disadvantage of hedging with futures contracts as compared to options on futures contractsis that futures
A.	remove the possibility of gains.
B.	increase the transactions cost.
C.	are not as an effective a hedge.
D.	do not remove the possibility of losses.
Answer» B. increase the transactions cost.