Which of the Following Statements About Multilateral Netting System Are

question 6

Multiple Choice

Which of the following statements about multilateral netting system are correct?
(i) - each affiliate nets all its interaffiliate receipts against all its disbursements
(ii) - it transfers or receives a balance,depending on whether it is a net payer or receiver
(iii) - the net funds to be received by the affiliates will equal the net disbursements to be made by the affiliates
(iv) - only two foreign exchange transactions are necessary since the affiliates' net receipts will always be equal to zero
(v) - only two foreign exchange transactions are necessary since the affiliates' net disbursements will always be equal to zero

• A)(i) and (ii)
• B)(i), (ii), and (iii)
• C)(i), (ii), (iii), and (iv)
• D)(i), (ii), (iii), and (v)