5. It is, generally, not possible to completely eliminate both translation exposure and transaction exposure. In some

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5. It is, generally, not possible to completely eliminate both translation exposure and transaction exposure. In some cases, the elimination of one exposure will also eliminate the other. But in other cases, the elimination of one exposure actually creates the other.

Discuss which exposure might be viewed as the most important to effectively manage, if a conflict between controlling both arises. Also, discuss and critique the common methods for controlling translation exposure.

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ISE International Financial Management

ISBN: 9781260575316

9th International Edition

Authors: Cheol Eun, Bruce Resnick, Tuugi Chuluun

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