Benefits of a Multilateral Netting System Include

question 67

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 options

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