Translation Exposure Measures

question 32

Multiple Choice

Translation exposure measures:

• A) changes in the value of outstanding financial obligations incurred prior to a change in exchange rates.
• B) the potential for an increase or decrease in the parent company's net worth and reported net income caused by a change in exchange rates since the last consolidation of international operations.
• C) an unexpected change in exchange rates impact on short run expected cash flows.
• D) none of the above

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Definitions:

Systematic Desensitization

A behavioral therapy technique used to reduce phobia and anxiety through gradual exposure to the feared object or situation combined with relaxation techniques.

Extinction

In behavioral psychology, the gradual weakening of a conditioned response that results in the behavior decreasing or disappearing.

Transformational Grammar

A theory of grammar that focuses on the syntactic transformations that relate surface structures and deep structures in language.

Surface Structure

In linguistics, the outward form of a sentence which can vary without changing its underlying meaning.