Answer:
a. A long position is a bet that the number is going to fall while a short position is a bet that the number will rise in the future.
Explanation:
The derivative contract is a contract in which the contract is to be done between two or more parties regarding the value i.e. depend upon the financial asset i.e. underlying. It involves the bonds, commodities, etc
So according to the given options, the option a is correct as long position is a bet in which the number is to be decline while on the other hand in the short position the number would increase
 
        
             
        
        
        
Answer:
Sales                                                                              950,000
Less: Relevant cost:
Variable expenses                                                         380,000
Avoidable fixed manufacturing expenses                    217,000
Avoidable fixed selling and administrative expenses  178,000
Contribution                                                                     175,000
The total profit of Furrow Corporation reduces by $175,000 if the product is discontinued.
Explanation:
In this question, there is need to determine contribution, which is the excess of sales over relevant costs. Relevant costs are comprised of variable cost and avoidable fixed costs. The product should not be discontinued since the contribution is positive. Deleting a product with positive contribution reduces the total profit of the company by the amount of positive contribution.
 
        
             
        
        
        
Answer: $81,060 in August and $80,850 in September
Explanation: Please find attached a table. 
August 86,800 17,360 38,500 25,200	81,060
September	91,000	18,200	43,400	19,250	80,850
 
        
             
        
        
        
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