If a Firm Must Pay for Goods It Has Ordered

question 58

Multiple Choice

If a firm must pay for goods it has ordered with foreign currency,it can hedge its foreign exchange-rate risk by ________ foreign exchange futures ________.

• A)selling;short
• B)buying;long
• C)buying;short
• D)selling;long

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Definitions:

Host Culture

The dominant culture or social environment in which an immigrant, foreign visitor, or minority group is immersed and must adapt to.

Immigrants' Cultures

The traditions, practices, languages, and values brought by immigrants to a new country, contributing to the cultural mosaic of the host society.

Ethnic Enclave

An area, often within a city, with a high concentration of a particular ethnic group, which maintains its distinct cultural identity.

Sociological Terms

Specialized vocabulary used to describe concepts, theories, and phenomena studied within the field of sociology.