Explain negotiated a non-deliverable forward contract, Operation Management

Assignment Help:

Johnson, Inc., a U.S.-based MNC, will need 10 million Thai baht on August 1. It is now May 1. Johnson has negotiated a non-deliverable forward contract with its bank. The reference rate is the baht's closing exchange rate (in $) quoted by Thailand's central bank in 90 days. The baht's spot rate today is $.02. If the rate quoted by Thailand's central bank on August 1 is $.022, Johnson will ________ $__________.

A) pay; 20,000

B) be paid; 20,000

C) pay; 2,000

D) be paid; 2,000

E) none of the above


Related Discussions:- Explain negotiated a non-deliverable forward contract

Customisation - service process matrix, Customisation - Service Process Mat...

Customisation - Service Process Matrix Customisation reflects the degree to which the service provided is tailored to the needs of the customer. Organisations which have a hig

Depict serializability graphs, Draw serializability (precedence) graphs for...

Draw serializability (precedence) graphs for the following schedules and state whether each schedule is (conflict) serializable. For each serializable schedule, determine the equiv

Explain crafting executive strategy, 1. What evidence do you find in this c...

1. What evidence do you find in this case, either explicitly or implicitly, that indicates that Whole Foods Market has a mission, core values, or is practicing decision-making that

Explain team prior to raising a follow-on fund, How should foster position ...

How should foster position herself and her team prior to raising a follow-on fund?

What are the disadvantages of lean production, What are the disadvantages o...

What are the disadvantages of lean production? Disadvantages of lean production are as illustrated below: • Incessant cost of investment within retraining displaced or reass

Operations strategy, Task 1 Read: Chapter 2 of the Core learning material a...

Task 1 Read: Chapter 2 of the Core learning material and supporting text chapters on Operations Strategy. Task 2 Investigate: The Operations Strategy of your organisation or on

Explain disadvantages of division of labour, Explain disadvantages of Divis...

Explain disadvantages of Division of Labour. (i) Division of labour provide rise to loss of craftsmanship, all workers become Machine -minders and nothing else. (ii) Along w

Explain one aspect of minimizing litigation, Dedication of resources within...

Dedication of resources within an organization is Answer an indication of stockholder involvement. An unification of global resources under the parent company. One aspect of minimi

What are the restrictions of the enterprise-wide systems, Q. What are the r...

Q. What are the restrictions of the enterprise-wide systems? Limitations of enterprise-wide systems (ERP): a.     Insufficient investment into training for end users. b.

Explain sources of power and any contingencies of power, 1. Does Clark have...

1. Does Clark have any sources of power and any contingencies of power? If so, list and discuss them. 2. To what degree were Clark's methods of influencing board members the most e

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd