Hedging by Using Commodity Futures Locks in a Price for the Supplier

question 22

True/False

Hedging by using commodity futures locks in a price for the supplier of a commodity.

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Definitions:

Lack Of Response

A situation where there is no reply or acknowledgment to a query, request, or stimulus, indicating potential disinterest or inability to engage.

Course Of Action

A plan or strategy that an individual or organization decides to undertake in response to or anticipation of an event or situation.

Unanimity

Complete agreement or consensus among all members or parties involved in a decision or situation.

Evaluative Comments

Feedback or observations that assess the value, performance, or quality of an activity, individual, or item, often with the intention of improvement.