1. Ford Motor Company manufactures and sells motor vehicles worldwide. Through its worldwide operations the company is exposed to all types of foreign currency risk. Its website is www.ford.com. Go to this website and access their 2017 annual report. Scroll through the report until you find the section “Quantitative and Qualitative Disclosures about Market Risk” on page 93. In the subsection titled “Automotive Market Risk” is a discussion of how Ford hedges economic and transaction exposure, but no mention is made about translation exposure. This is consistent with the discussion in the chapter mentioning that the translation process does not have a direct effect on reporting currency cash flows and will only have a realizable effect on net investment upon the sale or liquidation of exposed assets.