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

Determine the sample size, An element of work has been measured 6 times, wi...

An element of work has been measured 6 times, with the following results (units of 0.01 minutes): 18, 20, 19, 21, 19, 22. What should be the full-study sample size?

. Linear Programming Problem, A paper mill produces two grades of paper viz...

A paper mill produces two grades of paper viz., X & Y. Because of raw material restrictions, it cannot produce more 400 tons of grade X paper & 300 tons of grade Y paper in a week.

Introduction, what is production and operation management?

what is production and operation management?

Network design, 1. What is meant by the level of threshold service of a lea...

1. What is meant by the level of threshold service of a least-cost system?

Factors affecting productivity improvement, Factors Affecting Productivity ...

Factors Affecting Productivity Improvement  As has already been stressed, productivity improvement is not simply concerned with finding ways of making people work harder, nor

Operation research, what is or ? Features and limitations of or?

what is or ? Features and limitations of or?

Explain environment that best serves the organization, Briargrove is taking...

Briargrove is taking proposals for a Centralized Learning Network to be rolled out first in the corporate office in Dallas, TX and then across the organizational footprint. A priva

Define what is the average number of customers in the system, A suburban sp...

A suburban specialty restaurant has developed a single drive-thru window. Customers order, pay, and pick up their food at the same window. Arrivals follow a Poisson distribution, w

Why is cutting cost an merit of reducing project scope, Why is cutting cost...

Why is cutting cost an advantage of reducing project scope? Need at least a paragraph

Describe the graphical or the simplex lp method, Solve the following proble...

Solve the following problem using either the graphical or the simplex LP method. Max: 2X1 + 6X2 s.t. 2X1 + 2X2 ? 10 1X1 + 4X2 ? 8 X1, X2 > 0

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