A Forward Contract May Be Used for Which of the Following

question 34

Multiple Choice

A forward contract may be used for which of the following?
1) A fair value hedge of an asset.
2) A cash flow hedge of an asset.
3) A fair value hedge of a liability.
4) A cash flow hedge of a liability.

• A) 1 and 3
• B) 2 and 4
• C) 1 and 2
• D) 1, 3, and 4
• E) 1, 2, 3, and 4

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Definitions:

Inflammation

A biological response to harmful stimuli, such as pathogens, damaged cells, or irritants, characterized by redness, heat, swelling, and pain.

Eukaryotic Cells

Cells that contain a nucleus and other organelles enclosed within membranes, characteristic of all organisms except bacteria and archaea.

Nucleus

The control center of a cell; contains the chromosomes that direct cellular processes.

Organelles

Specialized structures within cells that perform specific tasks, like mitochondria for energy production and ribosomes for protein synthesis.