Question

Commodity and derivative markets: ____________.a. are additional sources of financing for corporate projects. b. enable the financial manager to adjust a firm's exposure to various business risks. c. are always over-the-counter markets. d. deal only in foreign currencies.

Answer 1

Answer:

b. enable the financial manager to adjust a firm's exposure to various business risks.

Explanation:

The commodity and derivative markets are the tools of the investment where it permits the investors to take the profit from the specific commodities without taking the possession.

So as per the given options, the option B is correct as it also enables the financial manager for managing the exposure of the firm for the different types of business risk

Therefore the option B is correct