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A Company Due to Pay a Certain Amount of a Foreign

question 16

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A company due to pay a certain amount of a foreign currency in the future decides to hedge with futures contracts.Which of the following best describes the advantage of hedging?

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Definitions:

Older Adults

Individuals typically aged 65 and older, often considered in the context of healthcare, social services, and policy to address specific needs and challenges.

Sedentary Individuals

People who engage in minimal physical activity and spend most of their time in a seated or lying position.

Introductory Exercise

An initial activity or workout designed to prepare individuals for a more intense or focused physical training session.

Chronic Diseases

Long-lasting health conditions that can be managed but not typically cured, often affecting an individual's quality of life over an extended period.

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