To 'Lock-In' a 90-Day Borrowing Rate a Hedger Can

question 22

Multiple Choice

To 'lock-in' a 90-day borrowing rate a hedger can:

• A)buy a call option on a BAB futures contract
• B)sell a call option on a BAB futures contract
• C)buy a put option on a BAB futures contract
• D)sell a put option on a BAB futures contract.
• E)None of these.

---

Definitions:

Traditional Classroom Instruction

Educational methods involving direct teaching and learning that occur in a physical classroom setting, emphasizing face-to-face interactions between teachers and students.

On-the-job Training

A method of learning and skill development that occurs within the workplace, enabling employees to gain practical experience while performing their duties.

Wasted Materials

Resources that are not used efficiently or effectively, leading to unnecessary expenses and environmental impact.