Which of the Following Statements Is Least Correct Regarding Corporations

question 10

Multiple Choice

Which of the following statements is least correct regarding corporations involved in international business transactions?

• A) They may purchase currency put options to hedge future receivables denominated in a foreign currency.
• B) They may purchase currency call options to hedge future payables denominated in a foreign currency.
• C) They may purchase currency call options to hedge future receivables denominated in a foreign currency.
• D) They benefit from currency put options if the currency's value declines before the expiration date of the option.

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Definitions:

Abnormalities

Deviations from the standard or norm, which could manifest in physical, psychological, or biological traits or conditions.

Internationally Adopted Children

Children who are adopted by parents from a different country than the one of their birth.

Speech

The expression of thoughts and feelings through articulated verbal language, a primary means of communication among humans.

Language Skill Levels

A measure of proficiency in a language, often categorized into listening, speaking, reading, and writing competencies.