Explain how a company can use forward contracts to eliminate FX risk.

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Intermediate Financial Management

ISBN: 9781337395083

13th Edition

Authors: Eugene F. Brigham, Phillip R. Daves

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Question Posted: Mar 10, 2024 12:01 AM

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Explain how a company can use forward contracts to eliminate FX risk.

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Answer A company can use forward contracts to eliminate foreign exchange FX risk by locking in a predetermined exchange rate for a future transaction ...View the full answer

Intermediate Financial Management

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