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What Does an Entity Relationship Diagram Represent? Why Do Accountants

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What does an entity relationship diagram represent? Why do accountants need to understand them?


Definitions:

Foreign Operations

Business activities that are conducted in countries other than the company’s home country, often involving different currencies and regulations.

Natural Hedge

A risk management strategy that involves offsetting risk by naturally balancing opposing positions in the business.

Denominated

Term used to specify the currency in which a financial obligation is expressed or a financial asset's value is designated.

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