What Is the Objective in Hedging Balance Sheet Exposure

question 30

Multiple Choice

What is the objective in hedging balance sheet exposure?

• A)Controlling the movement of foreign currency exchange rates.
• B)Balancing foreign currency assets and foreign currency liabilities affected by exchange rates
• C)To control the cash flow resulting from changes in the foreign currency exchange rates
• D)All of the above.

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Definitions:

Eczema

A condition causing inflamed, itchy, cracked, and rough skin patches, sometimes accompanied by blisters.

Hygiene

Practices and conditions that help to maintain health and prevent the spread of diseases, typically through cleanliness.

Cilia

Short, hair-like projections that line certain parts of the human body, such as the respiratory tract, moving in a wave-like motion to transport mucus and trapped particles.

Tympanic Membrane

Also known as the eardrum, a thin membrane that separates the outer ear from the middle ear and vibrates in response to sound waves.