A farmer with wheat in the ﬁelds and who uses the futures market to protect a proﬁt is an example of:
A)A long hedge.
B)A short hedge.
C)Selling futures to guard against a potential loss.
D)Both A and C.
E)Both B and C.

Name: A farmer with wheat in the ﬁelds and who uses the futures market to protect a proﬁt is an example of: A)A long hedge. B)A short hedge. C)Selling futures to guard against a potential loss. D)Both A and C. E)Both B and C.
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The Answer is E

A Farmer with Wheat in the ﬁElds and Who Uses