Examlex
The average energy residence time is calculated as
Forward Contract
An agreement to buy or sell an asset at a future date at a price agreed upon today, often used to hedge against price movements.
Spot Rates
The current market price at which a particular asset can be bought or sold for immediate delivery and payment.
Fair Value Hedge
A type of hedge that protects against changes in the fair value of an asset, liability, or an unrecognized firm commitment, often due to changes in interest rates or other market variables.
Forward Contract
A financial derivative that represents a customized agreement to buy or sell an asset at a predetermined future date and price.
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