Which One of the Following Is a Suggested Method of Reducing

question 44

Multiple Choice

Which one of the following is a suggested method of reducing a U.S. importer's short-run exposure to exchange rate risk?

• A) Entering a forward exchange agreement timed to match the invoice date
• B) Investing U.S. dollars when an order is placed and using the investment proceeds to pay the invoice
• C) Exchanging funds on the spot market at the time an order is placed with a foreign supplier
• D) Exchanging funds on the spot market at the time an order is received
• E) Exchanging funds on the spot market at the time an invoice is payable

---

Definitions:

Electroencephalograph (EEG)

A device used to record the electrical activity of the brain, often used in the diagnosis of neurological conditions and the study of brain function.

Delta Waves

Slow, high-amplitude brainwaves associated with the deepest stages of sleep and relaxation, playing a role in brain health and functioning.

Sleep Lab

A sleep lab is a facility equipped for observing and recording a person's sleep patterns to diagnose sleep disorders.

Electroencephalograph (EEG)

A device used to record electrical activity of the brain through electrodes placed on the scalp.