To Protect Against the Risk of Declining Values of Foreign

question 30

Multiple Choice

To protect against the risk of declining values of foreign currencies, an investor could

• A) invest in foreign stocks with variable dividends.
• B) export more to the country.
• C) ignore it as there is no way to reduce the risk.
• D) buy units of the home currency in the forward market.

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Definitions:

Patent Agreement

is a legal contract in which the patent holder grants permission to another party to use, manufacture, sell, or distribute the patented invention under defined terms and conditions.

Scuba Diving

The activity of underwater diving where the diver uses a self-contained underwater breathing apparatus (SCUBA) to breathe underwater.

Trademark Infringement

The illicit application of a trademark or service mark with goods and/or services without authorization, in a way that may lead to confusion, deceit, or error regarding the origin of the goods and/or services.

Consumers Confused

Consumers confused refers to a state where buyers are unable to understand or differentiate products, often due to misleading information or complex terms.