Purchasing an Option to Buy Foreign Currency at a Predetermined

question 35

Multiple Choice

Purchasing an option to buy foreign currency at a predetermined exchange rate in order to reduce exchange risk is called:

• A) transfer pricing.
• B) hedging.
• C) translating.
• D) cross-listing.

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Definitions:

Beauty Contest

A competition based primarily on the physical beauty of its contestants, often incorporating talent, personality, and question-and-answer sessions.

Systematic Desensitization

Wolpe’s method for reducing fears by associating a hierarchy of images of fear-evoking stimuli with deep muscle relaxation.

Virtual Therapy

The delivery of therapeutic services via digital platforms, allowing clients to receive counseling or therapy over the internet.

Muscle Relaxation

A technique or process aimed at reducing tension in the muscles through various methods, often used to reduce stress or alleviate physical discomfort.