Business, 05.08.2020 02:01 fireman59937
Company X, which is a chemical manufacturer, uses crude oil and buys it in the spot market on a monthly schedule. A crude oil swap is quoted by the dealer at $25. Which of the following statements is correct?a. The company should sell the swap to hedgeb. In a month when the spot price of oil is above $25, the company will pay the difference to the counter partyc. In a month when the spot price is below $25, the company will pay the difference to the counter party
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