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IIA Exam IIA-CFSA Topic 5 Question 68 Discussion

Actual exam question for IIA's IIA-CFSA exam
Question #: 68
Topic #: 5
[All IIA-CFSA Questions]

End users need to hedge the prices at which they can purchase these commodities for instance:

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Suggested Answer: D

by Queen at Dec 10, 2024, 11:20 AM

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Becky
18 days ago
I'm glad I don't have to deal with all this commodity hedging. Sounds like a real headache for those end users!
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Shaniqua
25 days ago
Yes, locking in prices for electricity and jet fuel can help businesses budget effectively and avoid unexpected costs.
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Pamella
27 days ago
I believe option D is correct because both A and B involve hedging price risks.
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Kanisha
1 months ago
I agree. It's important for businesses to protect themselves from price fluctuations.
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Lilli
1 months ago
Haha, I bet the airline is really hoping to 'lock in' those jet fuel prices. Gotta keep those planes flying no matter what!
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Dierdre
1 days ago
Yeah, it's all about managing costs and ensuring smooth operations for the airline.
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Lanie
3 days ago
I can imagine the pressure to secure a good deal on jet fuel, especially during peak travel seasons.
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Catarina
4 days ago
Definitely, it's a big expense for airlines so locking in the price of jet fuel is crucial.
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Jesusita
9 days ago
I know right! They need to make sure they can afford to keep those planes in the air.
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Ashlyn
10 days ago
Yeah, it's a smart move to hedge their costs and ensure smooth operations.
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Verona
12 days ago
I know right! They can't afford any surprises when it comes to fuel prices.
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Janae
1 months ago
I think end users should hedge their prices to manage risk.
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Tesha
1 months ago
C looks like a good option too. Producers can hedge their exposure to changes in the prices of their inputs and outputs.
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Bette
2 months ago
I think the correct answer is D. Both A and B are examples of end users hedging their commodity prices.
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Meghann
9 days ago
It's a strategic way to ensure stability in costs for future operations.
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Talia
23 days ago
Hedging can help protect against price fluctuations in the market.
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Evangelina
24 days ago
It's a smart strategy for businesses to secure prices in advance.
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Tammara
25 days ago
It's important for businesses to lock in prices to manage risk.
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Jame
29 days ago
Hedging can help protect against unexpected price fluctuations.
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Cassie
1 months ago
It's important for businesses to lock in prices to manage their risk.
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Anjelica
1 months ago
I agree, both A and B are examples of end users hedging their commodity prices.
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Macy
1 months ago
I agree, both A and B are examples of end users hedging their commodity prices.
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