Which of the Following Companies Would Gain from Foreign Currency

question 115

Multiple Choice

Which of the following companies would gain from foreign currency depreciation?

• A)companies which borrow in foreign currency.
• B)companies which export goods and services.
• C)companies which invest in the foreign equity markets.
• D)companies which buy bonds issued by the foreign government.

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Definitions:

Reward Power

The ability of an individual to influence others' actions, behavior, or thinking by offering positive reinforcements such as bonuses, promotions, or other benefits.

Performance

The act of executing a task or function effectively, often measured against preset standards.

Rewards

Benefits or compensations given for achieving particular objectives or performing well.

Expert Power

The influence one possesses due to one's expertise, skills, or knowledge.