Currency Risk Can Be Managed by Doing Which of the Following

question 56

Multiple Choice

Currency risk can be managed by doing which of the following?

• A) not using currency futures and forwards.
• B) using only the foreign currency.
• C) using multiple currencies.
• D) having both production and sales in the same currency.

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Definitions:

Natural Ecosystem

A community of living organisms and their physical environment interacting as a system in nature, untouched by significant human influence.

Successive Trophic Level

A hierarchical position in a food chain or food web, higher levels are progressively further from primary producers in terms of their source of food.

Decreasing Amount

A reduction in quantity, volume, or number over time or in a particular process.

Ecological Pyramid

A graphical representation showing the relationship between different trophic levels in an ecosystem regarding energy, biomass, or numbers.