When a US-Based Company Holds a Receivable Denominated in a Foreign Currency

question 36

Multiple Choice

When a U.S.-based company holds a receivable denominated in a foreign currency, the U.S. company wants the foreign currency to ________ against the U.S. dollar so that the foreign currency can be converted into ________.

• A)weaken; fewer dollars
• B)weaken; more dollars
• C)strengthen; fewer dollars
• D)strengthen; more dollars

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Definitions:

Benefit

An advantage, gain, or positive outcome derived from a situation, action, or policy.

Maslow's Hierarchy

A theory in psychology proposed by Abraham Maslow, depicting a five-tier model of human needs, arranged in a hierarchy from basic needs to self-actualization.

Self-Actualization

The realization or fulfillment of one's talents and potentialities, considered as a drive or need present in everyone.

Extrinsic Benefits

Rewards or advantages that come from external sources, often used as motivation or incentive.