Which of the Following Is the Most Effective Strategy to Manage

question 355

Multiple Choice

Which of the following is the most effective strategy to manage the risk of foreign exchange losses due to sales to foreign customers?

• A) Hire a risk consultant.
• B) Implement a hedging strategy.
• C) Maintain a large foreign currency balance.
• D) Insist that customers only pay in a stable currency.

---

Definitions:

Medieval Europe

A period in European history from the 5th to the late 15th century, marked by feudalism, the spread of Christianity, and the rise of powerful kingdoms.

Accused Felons

Individuals who have been formally charged with a felony, which is a serious crime usually punishable by imprisonment for more than one year or by death.

Insanity

A legal term for a state of mind that prevents responsibility for one's actions, often due to severe mental illness.

Cognitive Therapist

A mental health professional specializing in the treatment of psychological disorders by addressing dysfunctional thoughts and beliefs to change behavior and emotions.