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Marina86 [1]
3 years ago
14

A baker is interested in buying 5000 bushels of wheat on September 2020. He has a target price of $3.15/bushel and wants to hedg

e against upward price movements. There are no wheat futures contracts with maturity in September, but there are wheat futures with maturity in November. The size of one wheat futures contract with maturity in November is 1000 bushels. What should be the baker’s strategy to hedge against upward price movements?
Business
1 answer:
Alborosie3 years ago
3 0

Answer:

Long 5 November fates for wheat today, counterbalance position on September 2020, purchase wheat in the spot showcase in September 2020.

Explanation:

The risk included is upward development in the value, the helpful situation in prospects would be taking long position. Since, the fates are accessible for November month, take long situation on November and balance the situation in September by taking short situation for November month and purchase the wheat in the spot market.  

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alexgriva [62]

Answer:

Voluntary Turnover

Explanation:

The kind of turnover that is represented in this scenario is <u>voluntary turnover</u>. Voluntary turnover is a kind of turnover that transpires when employees freely want to leave their jobs. Employees might want to depart their works for an assortment of purposes. They may feel disappointed with their job or their payment either they may be exploring a profession change rather they may have acquired different offers.

8 0
3 years ago
Suppose you hit a 0.058-kgkg tennis ball so that the ball then moves with an acceleration of 10 m/s2m/s2. If you were to hit a b
daser333 [38]

Answer:

1 m/s2

Explanation:

The force on a body ( which is a pull or push) is given by the formula

F = Ma

where F is the force, a is the acceleration and M the mass of the body

Therefore, given that the same force is applied to both bodies,

0.058 × 10 = 0.58 × a

a = 0.058 × 10/0.58

a = 1  m/s2

The acceleration of the basketball will be 1 m/s2.

8 0
4 years ago
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Ostrovityanka [42]
Independent Regulatory Boards and Commissions, Government organizations that direct different businesses, businesses or financial segments. They are shaped and concurred by power by Congress to control a particular industry, and there are 38 of these offices some of which includes the FCC and the FAA
5 0
3 years ago
Characteristics of just-in-time partnerships do NOT include: long-term contracts. removal of in-transit inventory. large lot siz
otez555 [7]

Answer: large lot sizes to save on setup costs and to gain quantity discounts.

Explanation:

Just in time is the kind of system where your material or component arrives just when you require them and does not take up time. This is helpful in saving storage cost. Just in time however, does not include large lot sizes to save on setup costs and to gain quantity discounts.

8 0
3 years ago
The definition of inventory includes which of the following items? (Select all that apply.) a) items used currently in the produ
Yanka [14]

Answer:

Items a) and b)

a) items used currently in the production of goods to be sold items

b) held for resale items currently in production for future

Explanation:

Inventory consists of current assets to be used in production of final goods or are the ones which are final goods and held for sale.

In the given case also, statement a includes raw materials, which are used to make the final good to be sold, which is a part of inventory.

Further, statement b includes work in production or final goods which are currently in production but would be resold.

The items which are kept for their use as like machinery or furniture or which shall be disposed are not inventory but are in fixed assets category.

3 0
3 years ago
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