Top Posters
Since Sunday
y
2
s
2
a
1
w
1
w
1
i
1
m
1
s
1
c
1
k
1
1
m
1
Home Q & A Board Other Fields Homework Help Business
New Topic  
papahomer papahomer
wrote...
Go to Answer
Posts: 484
Rep: 0 0
7 years ago
How can a gold futures contract be used as a hedge against a potentially dramatic decrease in the price of the gold needed as an input into the production of computer microprocessors?
A) The computer company should sell gold futures contracts.
B) The computer company should sell more gold futures contracts than it should buy.
C) This is a standard business situation, which would be favorable if it were to happen, so no hedge is needed.
D) The computer company should lower its finished product prices now in anticipation of the decrease in the price of gold inputs.
Textbook 
Financial Management: Principles and Applications

Financial Management: Principles and Applications


Edition: 13th
Authors:
Read 79 times
1 Reply
Replies
Answer verified by a subject expert
David_hessDavid_hess
wrote...
#1
Top Poster
Posts: 729
Rep: 35 0
7 years ago
Sign in or Sign up in seconds to unlock everything for free
More solutions for this book are available here
1

Related Topics

papahomer Author
wrote...

7 years ago
Thanks for your help!!
Shassta22
wrote...

Yesterday
This site is awesome
hannahspillett
wrote...

2 hours ago
You make an excellent tutor!
New Topic      
Quick Reply
Explore
Post your homework questions and get free online help from our incredible volunteers
  1034 People Browsing
 177 Signed Up Today
Start New Topic Take the Tour CoursesNew Study Tools Topics Trending Browse by Textbook
Live Chat
Related Images
  
 229
  
 738
  
 242
Your Opinion
Which industry do you think artificial intelligence (AI) will impact the most?
Votes: 405
Previous poll results: Which industry do you think artificial intelligence (AI) will impact the most?