Which of the Following Is Probably Not an Example of the Use

question 40

Multiple Choice

Which of the following is probably not an example of the use of forward contracts by an MNC?

• A) Hedging pound payables by selling pounds forward
• B) Hedging peso receivables by selling pesos forward
• C) Hedging yen payables by purchasing yen forward
• D) Hedging peso payables by purchasing pesos forward
• E) All of the above are examples of using forward contracts.

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