Five Below Zero Is a New Ski Resort in Colorado

question 9

Multiple Choice

Five Below Zero is a new ski resort in Colorado.Five Below Zero is concerned that an abnormally warm winter will prevent the accumulation of snow needed to have a profitable ski season.Five Below Zero purchased a contract that will pay Five Below Zero a lump sum payment if the daily high temperature exceeds 30 degrees for more than 12 days between January 1st and March 31st.The contract Five Below Zero purchased is called a(n)

• A)catastrophe bond.
• B)weather option.
• C)interest rate swap.
• D)convertible bond.

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Definitions:

United States

A country in North America consisting of 50 states, a federal district, five major self-governing territories, and various possessions, characterized by its democratic government and diverse population.

Affirmative Action

Policies and practices within organizations aimed at increasing opportunities for historically marginalized groups by taking factors like race, color, religion, gender, or national origin into consideration.

Strict Scrutiny

The most rigorous form of judicial review that requires a law to be necessary to achieve a compelling governmental interest and to be narrowly tailored to achieve that interest.

Racial Minorities

Groups of individuals characterized by their distinct racial identity who are fewer in numbers compared to the larger population.