Examlex
Which of the following statements about native applications is true?
Hedge Ratio
A ratio used to measure the proportion of a position that is hedged, indicating the effectiveness of a hedge against fluctuations.
Fair Value Hedge
A hedge of the exposure to changes in the fair value of a recognized asset or liability or an unrecognized firm commitment, or some component thereof, that is attributable to a particular risk and could affect profit or loss.
Forward Contract
A customized contract between two parties to buy or sell an asset at a specified future date for a price that is agreed upon today.
Trade Payable
An amount owed by a business to its suppliers shown as a liability on the company's balance sheet.
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