Over-Hedging Means to Hedge a ______ Amount in a Currency

question 5

Multiple Choice

Over-hedging means to hedge a ______ amount in a currency than the actual transaction amount and it can _____ affect a firm.

• A) larger; favourably
• B) smaller; favourably
• C) smaller; adversely
• D) larger; adversely

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Definitions:

Organization Interest Principle

A guideline suggesting that the interests of the organization should take precedence over individual interests when making decisions.

Good for Organization

Actions, policies, or strategies that are beneficial for the overall health, performance, and success of an organization.

Self-Serving Decisions

Actions and judgments made by individuals that benefit themselves, often at the expense of others or ethical principles.

Organization Interest

Refers to the priorities, goals, or concerns that an organization focuses on or advocates for.