If You Have a Long Position in a Foreign Currency,you

question 34

Multiple Choice

If you have a long position in a foreign currency,you can hedge with

• A)a short position in an exchange-traded futures option.
• B)a short position in a currency forward contract.
• C)a short position in foreign currency warrants.
• D)borrowing (not lending)in the domestic and foreign money markets.

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Definitions:

Independently Owned

Refers to businesses or properties that are owned and operated by individuals or entities, not part of larger corporate groups or franchises.

Full-Line Wholesalers

Businesses that provide a complete range of goods within a specific sector.

Channel Functions

The roles and activities performed by intermediaries within a distribution channel to move products from producers to consumers.

Rack Jobbers

Distributors who place products in stores on consignment and retain ownership of the products while managing inventory and setup.