Discuss two (2) reasons why Mr. Rossi chose to use forward contracts instead of futures contracts.

Question 1 (a) Sand is an important raw material used in the construction of buildings, roads, and the manufacture of glass. Despite its importance in the economy, there are no futures contracts for sand. Appraise the issue and briefly offer two (2) possible explanations. (12 marks) (b) Mr. Rossi is the CFO of Starlight Corporation […]

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