Explain negotiated a non-deliverable forward contract, Operation Management

Assignment Help:

Johnson, Inc., a U.S.-based MNC, will need 10 million Thai baht on August 1. It is now May 1. Johnson has negotiated a non-deliverable forward contract with its bank. The reference rate is the baht's closing exchange rate (in $) quoted by Thailand's central bank in 90 days. The baht's spot rate today is $.02. If the rate quoted by Thailand's central bank on August 1 is $.022, Johnson will ________ $__________.

A) pay; 20,000

B) be paid; 20,000

C) pay; 2,000

D) be paid; 2,000

E) none of the above


Related Discussions:- Explain negotiated a non-deliverable forward contract

Computer simulation used to evaluate capacity, Computer simulation Used to ...

Computer simulation Used to Evaluate Capacity In many systems, proper scheduling of the conveners ion can lead to better use of existing capacity. Sometimes a careful analysis r

Explain the size and timing of planned-order, A firm that produces wood shu...

A firm that produces wood shutters and bookcases has received two orders for shutters: one for 100 shutters and one for 150 shutters. The 100-unit order is due at the start of week

Explain artistic and creative exception to the overtime rule, 1. Grapple In...

1. Grapple Industries has 1,000 full-time and part-time employees who manufacture parts for hand tools. Company policy states that part-time employees are not eligible for overtime

Explain difficulties of restructuring organizations, What do Klein Felds ef...

What do Klein Felds efforts at Siemens tell you about the difficulties of restructuring organizations?

Plant layout, Outline the considerations for choice of location and the cri...

Outline the considerations for choice of location and the criteria for good layout?

Line balancing, what do you understand by line balancing what happens if ba...

what do you understand by line balancing what happens if balance

Define activity a can be finished and not delay any activity, Using the dat...

Using the data in Table 13-4, determine the latest time activity A can be finished and not delay any activity? Table 13-4 The following represents a project with known activity tim

Explain self-awareness and empathy, The perceptual distortion of projection...

The perceptual distortion of projection can be controlled thru a high degree of/ 1.ethical behaviour/2.cognitive consistency/3.emotional discernment/4. self-awareness and empathy/5

Rationalize your compensation as well benefits package, Rationalize your co...

Rationalize your compensation and benefits package. Be sure to indicate the research and considerations that went into the design of the compensation and benefits package.

Compare as well contrast copyrights, Compare and contrast patents, copyrigh...

Compare and contrast patents, copyrights, and trademarks. Evaluate how these provisions can improve the financial position of a small business.

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd