Diwali Airlines Has a Contract That Gives Them the Opportunity

question 103

Multiple Choice

Diwali Airlines has a contract that gives them the opportunity to purchase up to 10,000,000 gallons of jet fuel at $2.00 per gallon.The current market price of jet fuel is $2.26 per gallon.Divali believes they will only need 6,000,000 gallons of jet fuel.What is the value of this opportunity?

• A)$1,560,000
• B)$2,600,000
• C)$1,040,000
• D)$9,040,000

---

Definitions:

Psychological Reactance

The unpleasant emotional response people experience when someone is trying to restrict their freedom to engage in a desired behavior.

Sensory Overload

A condition where one or more of the body's senses experiences overstimulation from the environment.

Yielding

The act of giving in or surrendering to a force, argument, or influence.

Inoculation

A psychological technique used to make individuals resistant to attempts to change their attitudes or beliefs by exposing them to small doses of arguments against their position.