The FCPA Requires All Companies to Create Internal Accounting Controls

question 89

True/False

The FCPA requires all companies to create internal accounting controls that will provide reasonable assurances that company transactions are authorized and that company assets are traceable.

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Definitions:

Fixed Rate

An interest rate that remains unchanged throughout the entire term of the loan, mortgage, or bond.

Derivative Security

A financial security whose value is dependent upon or derived from one or more underlying assets.

Hedging

Reducing a firm’s exposure to price or rate fluctuations. Also immunization.

Economic Exposure

The risk that a company's cash flow, earnings, or future value will be affected by changes in exchange rates.