A Hedge Spending Unit Is a Spending Unit

question 27

Multiple Choice

A hedge spending unit is a spending unit

• A)where the anticipated revenues significantly exceed the anticipated payment obligations.
• B)is one in which the funds coming in may potentially fall short of the payment outflows if there is an increase in interest rates.
• C)must continuously increase its outstanding debt to meet its current obligations or payments.
• D)None of the above is correct.

---

Definitions:

CE

An abbreviation for Common Era, a secular term used to denote years in the Gregorian calendar, equivalent to AD (Anno Domini).

Olmec

A pre-Columbian civilization known for its influence on Mesoamerican cultures and for its colossal head sculptures, ceremonial centers, and sophisticated art and architecture.

Carved

The process of using tools to shape or engrave materials such as stone, wood, or ivory into decorative objects or artworks.

Ax-shaped Forms

Artistic or sculptural forms that resemble the shape of an ax, commonly found in various cultures' artifacts.