According to the Wharton/CIBC Survey of 1998 on Hedging,only When

question 28

Multiple Choice

According to the Wharton/CIBC Survey of 1998 on hedging,only when a firm is sufficiently large to overcome the fixed costs of hedging does the firm

• A) create an international division responsible for hedging.
• B) institute tax shelters using hedging devices.
• C) institute a hedging policy.
• D) hold only the cash manager responsible for hedging.

---

Definitions:

Well-Written

Refers to text that is clearly articulated, grammatically correct, and effectively communicates its intended message.

Buffer

A balanced initial remark in a softly conveyed negative message that builds rapport with the audience without disclosing the primary concept.

Relevant

Closely connected or appropriate to the matter at hand.

Indirect Approach

A communication strategy where the main point is presented after providing background information, often used to soften negative news.