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1. Heating degree-day and cooling degree-day futures contracts make payments based on whether the temperature is abnormally hot or cold. Explain why the following businesses

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1. Heating degree-day and cooling degree-day futures contracts make payments based on whether the temperature is abnormally hot or cold. Explain why the following businesses might be interested in such a contract: (10 points) a. Soft-drink manufacturers. b. Ski-resort operators. c. Electric utilities. d. Amusement park operators

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