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

question 45

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:

Hallucinations

Perceptions or sensations experienced without an external stimulus, often vivid and seemingly real.

Neuroleptic Drug

A class of medication primarily used to manage psychosis, particularly in schizophrenia and bipolar disorder, often having tranquilizing effects.

First-Generation

Typically refers to individuals who are the first in their family to be born in a particular country or the first to achieve something, such as attending college.

Thorazine

A medication primarily used to treat psychotic disorders such as schizophrenia, known generically as chlorpromazine.