Answer:
The answer is "2,040".
Explanation:
Since in the event the company needs the oats, it should take a long position today to hedge them. As indicated throughout the question, the price of the halftime show was set, and the present settling price of 218.50 cents was $2,1850. Moreover, the industry wants 20,000 boxes with oats and the next claim is 5,000, and that is why 4 agreements (20000/5 000) occupy a longer time. So the actual market price of $228.70, i.e. $22870, is 228.70 so hedging would have the corresponding profit/loss:
If the market price is above or equal to the average variable cost, but below the average total cost the firm should keep producing in the run even though it does so at a loss.
<h3>When should a firm shut down production?</h3>
A firm should continue production in the short run if the price is above the average variable cost even if price is below the average total cost. The short run is a period when at least one or more factors of production are fixed.
To learn more about when a firm should shut down, please check: brainly.com/question/13034691
Answer:
b) Reactive
Explanation:
A reactive approach is when managers respond to situations and problems as they occur rather than plan for them before hand as this is an added cost.
Proactive managers seek out opportunities to always input CSR in their strategies. Accommodative strategies and defensive strategies build in some leeway. None of these options completely discount csr as a cost as does the reactive style.
Hope that helps.
When two or more organizations combine to become one, it is referred to as a merger.
What are the 3 types of mergers?
Vertical, horizontal, and conglomerate mergers are the three basic forms of mergers.
- Horizontal Merger- Companies at the same stage in the same industry unite in a horizontal merger to cut costs, increase product options, or lessen competition.
- Vertical Merger- In a vertical merger, a business acquires another business in the same sector that is frequently active at an earlier or later point in the manufacturing or sales process.
- Conglomerate Mergers -To lower risk, conglomerates consolidate firms that are unconnected to one another.
Learn more about Mergers: brainly.com/question/16557059
#SPJ4
