example of where derivatives are used in business or economic applications?? Please help me!!?

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example of where derivatives are used in business or economic applications?? Please help me!!?

Does anyone have an example of where derivatives are used in business or economic applications?! Please help me!!

2007-10-28 14:16:58 · 3 answers · asked by Anonymous in Business & Finance ➔ Investing

3 answers

They are used in pay schemes to encourage corporate officers to create as much wealth as possible.

They are used by farmers to guarantee a price for the sale of their product.

2007-10-28 15:31:09 · answer #1 · answered by OPM 7 · 0⤊ 0⤋

(didn't you ask this in another section too...?)
Stochastic calculus (e.g. Black-Scholes formula, Ito's Lemma) and probability theory

2007-10-28 21:46:15 · answer #2 · answered by bent_reticence 2 · 0⤊ 0⤋

http://www.investopedia.com/articles/stocks/04/122204.asp

2007-10-28 21:54:16 · answer #3 · answered by jeff410 7 · 0⤊ 0⤋