If an MNC Has a Net Inflow in One Currency

question 14

Multiple Choice

If an MNC has a net inflow in one currency and a net outflow of about the same amount in another currency, then the MNCs' transaction exposure is ____ if the two currencies are ____ correlated.

• A) high; positively
• B) low; negatively
• C) high; negatively
• D) none of the above

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Definitions:

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