A Forward Contract May Be Used for Which of the Following

question 34

Multiple Choice

A forward contract may be used for which of the following?
1) A fair value hedge of an asset.
2) A cash flow hedge of an asset.
3) A fair value hedge of a liability.
4) A cash flow hedge of a liability.

• A) 1 and 3
• B) 2 and 4
• C) 1 and 2
• D) 1, 3, and 4
• E) 1, 2, 3, and 4

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Definitions:

Innovations

are new ideas, devices, or methods that mark a departure from traditional ways, often resulting in improved processes or products.

Main Findings

The most significant results or conclusions that come from research or analysis.

Richard Walton

A notable figure in the field of industrial relations, known for his contributions to improving workplace relations and developing conflict resolution strategies.

Process Innovations

Changes or improvements made to processes (in manufacturing, technology, management, etc.) aimed at enhancing efficiency, productivity, or quality.