Solved

A Miller Who Needs Wheat to Mill into Flour Most

Question 62

Multiple Choice

A miller who needs wheat to mill into flour most likely uses the futures market for taking a:


A) long hedge position to lock in production costs.
B) short hedge position to lock in delivery.
C) long hedge position to lock in a sales price for flour.
D) seller's position in wheat.
E) speculator's position in wheat.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions