Shrewsbury Herbal is an old-line producer of herbal teas, seasonings, and medicines. Shrewsbury Herbal receives a large order today (February 17, 2021), and this time it's from a wholesaler in California, U. S., for $1,500,000. This U. S. wholesaler demands that the order be invoiced in their home currency (i. e., the U. S. dollar) and that delivery be made by the end of May 2021. Mr. Peters approaches you for financial advice. You have just learned how to use currency futures in hedging exchange rate exposure. So you advice Mr. Peters how to hedge its dollar position by entering into IMM futures contracts. The spot rate is $1.67/£ and the June futures price is $1.72/£. The size of a futures contract is £62,500.
a. State a hedging strategy using futures contracts.
b. On May 31, 2021 the spot rate turns out to be $1.70/£, while the June futures price is $1.75/£. Calculate Shrewsbury Herbal's net £ gain or loss on its futures position. What is Shrewsbury Herbal's total net revenue for the receivables?
1. a. visits of the college students.
2. b. herbal tea.
3. d. The results of the study are not convincing because the effect of herbal tea is confounded with several other factors.
1. The lurking variable in this experiment is - a. visits of the college students.
2. The explanatory variable in this experiment is - b. herbal tea
3. Which of the following may be correctly concluded from this study - d. The results of the study are not convincing because the effect of herbal tea is confounded with several other factors.
D. Herbal remedies are not regulated in the same way as the other drugs.
D is correct because currently drugs that doctors prescribe are heavily regulated by FDA whereas, herbal remedies or dietary supplements for that matter have little to no FDA regulations (or not as tight) as those regulation for drugs
Explanation is in the file
Most likely an.
The h in herbal is silent so you need to use an instead of a.
Context does matter, however.
It could also be none or the.