Benefits of a Multilateral Netting System Include

question 100

Multiple Choice

Benefits of a multilateral netting system include:

• A)The decrease in the expense associated with funds transfer, which in some cases can be over $1,000 for a large international transfer of foreign exchange.
• B)The reduction in the number of foreign exchange transactions and the associated cost of making fewer but larger transactions.
• C)The reduction in intra-company float, which is frequently as high as five days even for wire transfers.
• D)The benefits that accrue from the establishment of a formal information system, which serves as the foundation for centrally managing transaction exposure and the investment of excess funds.
• E)All of the above

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Definitions:

Furniture

Movable articles intended to support various human activities such as seating, eating, and sleeping, often used to decorate and make spaces habitable.

Depreciated

The process of allocating the cost of a tangible or physical asset over its useful life, reflecting the decrease in value over time.

Domestic Haven

A safe and comfortable home environment that offers refuge from the stresses and demands of the outside world.

Self-Sufficient

The ability to satisfy one's own needs without reliance on others.