Which of the Following Is Correct If You Have Contracted

question 98

Multiple Choice

Which of the following is correct if you have contracted to purchase 1,000 Swiss Francs three months forward at a rate of Sf1.6/$?

• A)You pay approximately $625 today for the Francs
• B)You pay $1,600 today for the Francs
• C)You pay approximately $625 three months from now for the Francs
• D)You pay $1,600 three months from now for the Francs

---

Definitions:

Strategic Plans

Long-term, overarching plans that outline how an organization will achieve its goals and objectives within a specific timeframe.

Operational Plans

Detailed, short-term action plans that outline how goals or objectives will be achieved within a specific timeframe.

Strategic Management Process

A continuous practice that involves planning, monitoring, analyzing, and assessment of all that is necessary for an organization to meet its goals and objectives.

Corrective Action

Measures taken to rectify a fault or reduce the likelihood of its recurrence in the future. Often used in the context of quality management and compliance.