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1.In Argentina, firms' debts tend to be denominated in foreign currency such as U.S. dollars. A depreciation of the Argentine peso A.means that Argentine firms
1.In Argentina, firms' debts tend to be denominated in foreign currency such as U.S. dollars. A depreciation of the Argentine peso
A.means that Argentine firms do not owe as much on their foreign debt.
B.strengthens their balance sheet in terms of the peso.
C.results in an increase in the value of the firm's assets, making them more able to secure more loans for investment.
D.results in increases in the firm's indebtedness in peso, even though the value of their assets remains unchanged.
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