Under Multilateral Netting

question 92

Multiple Choice

Under multilateral netting

• A)each affiliate nets all its inter-affiliate receipts against all its disbursements. It then transfers or receives the balance, respectively, if it is the net payer or receiver.
• B)each pair of affiliates determines the net amount due between them, and only the net amount is transferred.
• C)no inter-affiliate payments are made or even computed, since no real cash flows are involved.
• D)all of the above

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