Two 6-month corn put options are available. The strike prices are $1.80 and $1.75 with premiums of $0.14 and $0.12, respectively
Total costs are $1.65 per bushel and 6-month interest rates are 4.0%. Farmer Jayne wishes to hedge 20,000 bushels for 6 months. What is the highest profit or minimum loss between the two options if the spot price in 6 months is $1.70 per bushel?
A) $88 loss
B) $88 gain
C) $496 loss
D) $496 gain
B
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Sometimes firms have service encounters that fail because of ________, who intentionally or unintentionally act in a way that is disruptive, rude, or aggressive.
A. Heterogeneous customers B. Strangers C. Friends D. Profitable customers E. Dysfunctional customers
Betterments are a type of capital expenditure.
Answer the following statement true (T) or false (F)
The clause prohibiting the Federal Government from taxing exports is:
a. the Commerce Clause. b. the Import-Export Clause. c. the International Trade Clause. d. the Export Taxation Clause.
When actual variable cost per unit equals standard variable cost per unit, the difference between actual and budgeted contribution margin is explained by a combination of which two variances?
A. The sales-price variance and fixed-overhead budget variance. B. The sales-price variance and sales-volume variance. C. The sales-volume variance and the fixed-overhead volume variance. D. The sales-price variance and the fixed-overhead volume variance. E. The sales-volume variance and the fixed-overhead budget variance.