MNCs Can Use Short-Term Foreign Financing to Reduce Their Exposure

question 48

Multiple Choice

MNCs can use short-term foreign financing to reduce their exposure to exchange rate fluctuations. For example, if an American-based MNC has ____ in euros, it could borrow ____, resulting in an offsetting effect.

• A) payables; euros
• B) receivables; euros
• C) payables; dollars
• D) receivables; dollars

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Definitions:

Cisgender

A term for people whose gender identity matches the sex they were assigned at birth.

Gender Dysphoria

The psychological distress experienced by individuals whose gender identity does not align with their biological sex.

Etiology

The study of the causes or origins of diseases and conditions.

Homosexuality

A sexual orientation characterized by a romantic or sexual attraction to people of the same sex.