Which of the Following Statements Is True

question 52

Multiple Choice

Which of the following statements is true?

• A)Microhedging refers to hedging the entire duration gap of an FI using futures or forward contracts.
• B)Macrohedging refers to hedging the entire duration gap of an FI using futures or forward contracts.
• C)Microhedging refers to hedging the entire balance sheet of an FI using futures or forward contracts.
• D)Macrohedging refers to hedging the entire balance sheet of an FI using futures or forward contracts.

---

Definitions:

United States

A country composed of 50 states, a federal district, five major self-governing territories, and various possessions, known for its large size and diverse population.

Socialism

A theory in both politics and economics that supports the ownership or regulation of the means for producing, distributing, and exchanging goods by the collective community.

Communism

A political and economic ideology promoting a classless society, where all property is publicly owned, and each person works and is paid according to their abilities and needs.

Business Ethics Tools

Frameworks, methods, and instruments that assist individuals and organizations in identifying, analyzing, and resolving ethical issues in a business context.