Which of the Following Is Probably NOT an Advantage of Foreign

question 16

Multiple Choice

Which of the following is probably NOT an advantage of foreign exchange risk management?

• A) the reduction of the variability of cash flows due to domestic business cycles
• B) increased availability of capital
• C) reduced cost of capital
• D) All of the above are potential advantages of foreign exchange risk management.

---

Definitions:

Rigid Stance

A firm or inflexible position or opinion on a particular subject, showing little to no willingness to change.

Opening Statement

The initial remarks of an argument, presentation, or legal trial, aimed at providing an overview or setting the context.

Presentation

A structured delivery of information to an audience, often involving visual aids or speeches to convey messages.

Virtual Presentation

A presentation made and delivered via digital platforms, often involving slides, videos, and live streaming.