Which of the following statements is correct producers have exposure. Hence, option (b) is the correct answer.
Which of the following statements is correct producers have exposure. Producers often have exposure to price decreases, especially if they are selling commodities or goods that are subject to market fluctuations. Producers combine labour and** capital,** called factors of **production, **to create something else. This statement is correct. They purchase instruments that enablthem to offer the most appealing price to consumerProducers have exposure to price increases and hethis risk by purchasing instruments that enable therlock in the lowest price Gathering information and evaluating the account Which one of the following statements is correct with respect to surplus lines intermediaries selling to retail producers? Extensive preparation is needed to understand the potential insured's business before presenting a proposal to the retail producer. Question: Knowledge Check?Which of the following statements is correct?Producers are not concerned with exposure to pricfluctuations. Producers have exposure to price increases and hedge this risk by purchasing instruments that enable them to lock in the lowest price possible. What is the role of producer? A producer is a person who produces and supplies** goods** or services. Producers have exposure to price decreases and hedge this risk by purchasing instruments that enable them to Producers have exposure to price decreases and hedge this risk by purchasing instruments that enable them to lock in the highest price possible. #### Final Answer The correct statement is: "Producers have exposure to price decreases and hedge this risk by purchasing instruments that enable them to lock in the highest price possible. Producers have exposure to price increases and . Producers are not concerned with exposure to price fluctuations. Explanation: Producers have to sell their products in the market. To hedge this risk, they can purchase instruments that allow them to sell the produce at the highest possible price. Therefore, option B accurately reflects how producers use instruments to manage the risk of price decreases effectively. Mar 28, 2023 · The correct statement is: "Producers have exposure to price decreases and hedge this risk by purchasing** instruments** that enable them to lock in the highest price possible. They purchase instruments that enable them to offer the most appealing price to consumers. c. Jul 9, 2023 · Which of the following statements is correct? O Producers have exposure to price decreases and hedge this risk by purchasing instruments that enable them to be lock in the highest price possible. 3. Producers have exposure to price decreases and hedge this risk by purchasing instruments that enable them to lock in the lowest price possible. Feb 10, 2024 · Producers are not concerned with exposure to price fluctuations. " Jan 9, 2025 · Producers are not concerned with exposure to price fluctuations. They may hedge this risk by purchasing instruments, such as futures contracts Question: Which of the following statements is correct?Producers are not concerned with exposure to price fluctuations. Producers, as Which of the following statements is correct? Producers have exposure to price decreases and hedge this risk by purchasing instruments that enable them to be lock in the highest price possible. Fullscreen Go Back Which of the following statements is correct? Producers have exposure to price decreases and hedge to lock in the highest price possible. Producers have exposure to price decreases and hedge this risk by purchasing instruments that enable them to lock in the highest price possible. They have exposure to price decreases. The correct statement among the given options is "B. Which of the following statements is correct? Producers have exposure to price decreases and hedge this risk by purchasing instruments that enable them to lock in the lowest price possible. Hence, option (b) is the correct answer. Producers are not concerned with exposure to price fluctuations. The correct statement is: "Producers have exposure to price decreases and hedge this risk by purchasing instruments that enable them to lock in the highest price Which of the following statements is correct? Producers are not concerned with exposure to price fluctuations. They purchase Instruments that enable them to offer the most appealing price to consumers. Submit Answer < PREV In contrast, if a producer were concerned about price increases, they may consider different hedging strategies to minimize their costs, but that situation doesn't apply to the statements given. Producers have exposure to price decreases and hedge this risk by purchasing instruments that enable them to lock in the lowest price Business Finance Finance questions and answers Which of the following statements is correct?Producers have exposure to price decreases and hedge this risk by purchasing instruments that enable them to lock in the lowest price possible. orahxikfjlsfvszawqafzqxbjhzyliraalbmmgumocbdllulvgdojj