Which of the Following Is Probably NOT an Advantage of Foreign

question 47

Multiple Choice

Which of the following is probably NOT an advantage of foreign exchange risk management?

• A)The reduction of the variability of cash flows due to domestic business cycles.
• B)Increased availability of capital.
• C)Reduced cost of capital.
• D)All of the above are potential advantages of foreign exchange risk management.

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Definitions:

Cultural Circumstances

The societal, economic, and historical conditions that influence the beliefs, behaviors, and practices of individuals or communities.

REM Sleep

Rapid eye movement sleep, in which an individual’s brain wave activity is remarkably similar to that of the waking state but the individual is asleep.

Experience-expectant

A term related to brain development, referring to the process by which the brain evolves in response to general environmental stimuli that are expected to occur in all typical environments.

Sensory Deprivation

A condition in which one or more of the senses is diminished or eliminated, often for therapeutic or experimental purposes.