A One-Year Forward Contract Is an Agreement Where

question 3

Multiple Choice

A one-year forward contract is an agreement where

• A) One side has the right to buy an asset for a certain price in one year's time.
• B) One side has the obligation to buy an asset for a certain price in one year's time.
• C) One side has the obligation to buy an asset for a certain price at some time during the next year.
• D) One side has the obligation to buy an asset for the market price in one year's time.

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Definitions:

Organizational Effectiveness

The measure of how successfully an organization achieves its goals and objectives through the efficient use of resources.

Divisional Departmentalization

Organizational structure where divisions are formed based on products, services, or markets, with each division containing its own resources and functions.

Functional Departmentalization

An organizational structure where the company is divided into departments based on their functions or roles, such as marketing, finance, human resources, and more.

Dual Lines

A structure or system that involves two parallel paths or channels, which can facilitate processes or communication.