Sign In
Not register? Register Now!
Essay Available:
You are here: HomeCourseworkAccounting, Finance, SPSS
Pages:
2 pages/≈550 words
Sources:
2 Sources
Level:
MLA
Subject:
Accounting, Finance, SPSS
Type:
Coursework
Language:
English (U.S.)
Document:
MS Word
Date:
Total cost:
$ 11.23
Topic:

Financial Risk Management Accounting, Finance, SPSS Coursework (Coursework Sample)

Instructions:

Task: Answering a case scenario
About the sample: The paper makes recommendations on the suitable derivatives to avert changes in fuel prices

source..
Content:


Name
Tutor
Course
Date
Part A: Case Scenario
Question (a)
EZY Adelaide’s major expense is fuel. Since the prices of fuel correlates strongly with AUD/USD currency fluctuations and USD oil prices, I disagree with the CEO that the service station chain is not exposed to this risk. As the CFO, I recommend that fuel prices be locked for the next six months since the forecasts indicate a possible rise in oil prices. For example, if fuel is currently selling at spot price of $100 per barrel and may rise to $120 in the next six months, EZY Adelaide may have to enter into a forward contract with the supplier at the current $100 per barrel price. In six months, the forward contract will be worth $20 per barrel while the cost of fuel remains at $100. The benefit of the forward-market hedge is that regardless of what happens to the exchange rate, EZY Adelaide will receive the same dollar amount of fuel for $100 per barrel.

...
Get the Whole Paper!
Not exactly what you need?
Do you need a custom essay? Order right now:

Other Topics:

  • Auditing Functions Coursework Writing Assignment
    Description: Its Evaluation During The Depreciation Accounting, Capital Expenditure And How It Can Be Applied To Seal Accounting Weaknesses...
    9 pages/≈2475 words| 2 Sources | MLA | Accounting, Finance, SPSS | Coursework |
  • The One-Way Analysis of Variance (ANOVA) Assignment
    Description: From the results of the ANOVA, determine if the teaching strategy and design of environmental studies seminars (e-learning, on-ground, blended) ...
    1 page/≈275 words| No Sources | MLA | Accounting, Finance, SPSS | Coursework |
  • My TNC project is Costco Wholesale Corporation Coursework
    Description: Global mapping involves the use of networking maps to show the area where the product of a given company is highly concentrated...
    1 page/≈275 words| No Sources | MLA | Accounting, Finance, SPSS | Coursework |
Need a Custom Essay Written?
First time 15% Discount!