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DanielleElmas [232]
2 years ago
9

Sally Ferguson, CFA, is a hedge fund manager. Ferguson utilizes both futures and forward contracts in the fund she manages. Ferg

uson makes the following statements about futures and forward contracts:
Statement 1: A futures contract is an exchange traded instrument with standardized features.
Statement 2: Forward contracts are marked to market on a daily basis to reduce credit risk to both counterparties.

Are Ferguson's statements correct?

(A) Only one of these statements is correct.
(B) Both statements are correct.
(C) Neither statement is correct.
Business
1 answer:
GaryK [48]2 years ago
8 0

Answer:

The correct answer is letter "B": Both statements are correct.

Explanation:

A futures contract is a type of forward contract between a buyer and a seller of an asset. They agree to exchange goods and money at a future date but at a price and quantity determined today. Futures contracts are standardized, regulated, and free of counterparty risk. In difference to other forward contracts, futures contracts are traded in secondary markets such as the Chicago Mercantile Exchange and the Intercontinental Exchange.

A forward contract is an agreement to buy and sell an asset at a future date. The price of the asset is fixed at the time the contract is executed. They are similar to a futures contract but forward contracts do not trade in an exchange.

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Katarina [22]

Answer:

a) 5,6%

b)$16 191 937.48

Explanation:

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7 0
2 years ago
The Korean soap opera example discussed in the video is an example of how Domino’s was successful at educating the South Korean
Slav-nsk [51]

One must employ the Global Communication Strategy.

Let understand that Global communication refers to development & sharing of information in international settings, either in form of verbal and non-verbal measure.

  • Another name for Global communication is international communication.

  • Global Communication Strategy refers to plan of action which companies who participate in international setting, carries out to reach out to audience around the globe.

In conclusion, in order to be successful in the global market, the company like Domino must have a ery effective global communication strategy.

Learn more about Global communication strategy here

<em>brainly.com/question/9058933</em>

5 0
2 years ago
Warren Cassell, owner of Just Books, a very small book store, makes special orders for customers at no extra charge, provides fr
Anna007 [38]

Answer:

Cassell is relying on Guerrilla Marketing strategy in this case.

Explanation:

Guerrilla Marketing:

It is a such type of marketing strategy in which we use non-traditional ways to accomplish our marketing goals. This unconventional way of marketing is directed towards developing an emotional between a business/organization and its customer.

Example:

The common example of guerrilla marketing is as follow:

A company named "XYZ" sells soft drink and they start a campaign in a public space in which they offer free drinks to the public. The people taste their soft drink for free and tell others about it.  

In our case, Warren Cassell use this strategy of marketing by offering them free gift-wrapping, free autographed copies of books etc so that the customer develop a very strong emotional bond with the book store. As a result, they will tell other people about her generosity and will help her to expand her business.    

5 0
2 years ago
Read 2 more answers
In the construction of a new housing development, which factor of production can be categorized as land?
Aliun [14]
The question above is not complete, the alternatives attached to the question are as follow:

A) The people working to develop the community
B) Bike paths and stores
C) Solar power
D) The idea to develop the housing community

ANSWER
The correct option is B.
Land as a factor of production refers to all the natural resources that are free gifts of nature. According to this definition, land as a factor of production include the following: forests, oceans, rivers, mountains, climate, light, heat of the sun and natural resources such as crude oil, copper, gold, silver, coal,etc. The characteristics of land include the following: it is a free gift of nature, fixed in quantity, permanent in nature, immovable, differs in fertility, etc. 

8 0
2 years ago
Shoe manufacturers are not going to buy much more leather if the price of leather falls, nor will they buy much less leather if
IgorC [24]

Answer:

A) inelastic demand

Explanation:

Demand is inelastic if a change in price has no effect on quantity demanded.

Changes in price has no effect on quantity of leather demanded. Therefore, the demand for leather is inelastic.

Direct purchasing is buying raw materials used in the production process.

Straight rebuy is purchasing similar goods from the same supplier under similar conditions.

Modified rebuy is purchasing similar goods either from a different supplier or in a different condition.

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2 years ago
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