Internal Methods of Reducing the MNC's Transaction Exposure to Currency

question 24

Multiple Choice

Internal methods of reducing the MNC's transaction exposure to currency risk include each of a) through c) EXCEPT

• A) multinational netting
• B) leading and lagging of intracompany transactions
• C) hedging in the currency forward markets
• D) Each of the above is a way to reduce transaction exposure internally
• E) None of the above are a way of reducing transaction exposure internally

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