When a US Company Purchases Parts from a Foreign Company, Which of Which

question 10

Multiple Choice

When a U.S. company purchases parts from a foreign company, which of the following will result in zero foreign exchange gain or loss?

• A) The transaction is denominated in U.S. dollars.
• B) The option strike price to sell foreign currency is less than the spot rate of the currency.
• C) The option strike price to buy foreign currency is less than the spot rate of the currency.
• D) The foreign currency appreciated in value relative to the U.S. dollar.
• E) The foreign currency depreciated in value relative to the U.S. dollar.

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Definitions:

Gender Neutral

Not specific to any gender; inclusive of all genders or not categorized by gender at all.

Heterosexuality

A sexual orientation characterized by an emotional, romantic, or sexual attraction to individuals of the opposite sex.

Cognitive Social Learning Theory

A theory that emphasizes the role of cognitive processes in the acquisition of social behaviors through observation and imitation.

Gender Modeling Theory

A theory which suggests that individuals learn gender roles and behaviors by observing and imitating others, and through rewards and punishments for these behaviors.