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In Janes dilemma, both selling her produce to an overseas broker and selling to the local juice factory is a good idea despite that each option has its challenges. The overseas broker is buying at a fairly good price of about $550 per ton. This price is only offered when the Australian currency stays low, and in case of any appreciation in the currency, maybe a portion or none of her products will be taken. On the other hand, the local juice factory is likely to buy all Jane's products and pay her for over five years, but it offers a relatively low price of about $350 per ton. Selling the orange products to the local farm factory is advantageous. This is because Jane will have a full guarantee that her products will be disposed of and her mortgage fully paid. Jane's farm products are highl...
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