IMPORTANT NOTE: The questions must be address in its full context. These questions are an opportunity to go outside the box to demonstrate your analytical, integrative, problem- solving and critical thinking skills using the knowledge acquired in your readings. As a result, it is very important to pay close attention to the questions and be able to conduct your discussions in the context of your question. – Please keep this in mind when you complete this assignment.
You must expand your ideas further. Analysis must be deep and very instructive.
ANSWER THE FOLLOWING QUESTIONS. Each question should be answered in at least 300 words. Quality of content and use of course and outside-of-course resources to support your position or analysis. The answers should not be in the form of essay, just straight to the point- Work must be original and cite your sources.
Please be sure to answer the question completely but specifically in well-written complete sentences.
Use the link to help you answer these questions, and conduct your own research
Textbook, found at: https://vk.com/doc-77652506_340859945?dl=9e4506fed8154b2ff5
1. Your company is involved in the purchasing and processing of corn from farms in the Mid-Western portion of the U.S. to produce ethanol used in fuel for vehicles. Your company treasurer wants to make use of options in the purchasing of the corn used in this process. Could you use options in this manner? Could the use of options in this manner result in possible losses?
2. In your continuing effort to understand the types of options you have been studying material in Chapter 20 of our textbook. One issue that has come to light is the two kinds of options, ie. American options and European options. What have you learned about these two items that will be useful in your understanding of options?
3. During recent periods of your company purchase of corn from farmers and the processing of that product into ethanol the demand for your finished product has decreased. This has resulted in increasing inventory of corn and slower collection on your receivables. Describe the calculations you might use to track the impact of these trends upon your company’s working capital. What changes in your company operations could you make to improve the working capital?
4. Because you want to understand the impact that holding corn inventory will have upon your company’s financial operations you have been reviewing information in Chapter 26 about inventory management. Discuss the various benefits and costs associated with holding your corn inventory.