As Discussed in the Case in Point on Arab Spring

question 18

Multiple Choice

As discussed in the Case in Point on Arab spring and oil markets, after the official start of the recession in the U.S.in 2007, oil prices:

• A) began to fall because of decreased demand in China and India.
• B) began to fall because of decreased demand in the U.S.and Europe.
• C) began to rise because of increased demand in China and India.
• D) began to rise because of increased demand in the U.S.and Europe.

---

Definitions:

Forward Contract

A customized contract between two parties to buy or sell an asset at a specified price on a future date.

Annual Interest Rate

The percentage increase in the value of a loan or investment due to interest, calculated on an annual basis.

Present Value

The current worth of a future sum of money or stream of cash flows, given a specified rate of return.

Income Statement

Income Statement is a financial document that shows a company's revenues, expenses, and net income over a specific period, providing insights into its profitability.