1. Relevance of exchange rate risk to MNCS In the following table, indicate whether each of the statements is an argument for the relevance of exchange rate risk for MNCs, or an argument against the relevance of exchange rate risk for MNCs. Argument For Relevance Argument Against Relevance Statement Exchange rate movements tend to affect many MNCs in the same way, limiting the ability of investors to mitigate exchange rate risk via diversification. Investors in MNCs can hedge their investments on their own to account for exchange rate risk