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34) Historical analysis of recent changes in exchange rates in both the spot and futures markets for a given currency reveals that spot rates are

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34) Historical analysis of recent changes in exchange rates in both the spot and futures markets for a given currency reveals that spot rates are thirty percent more sensitive than futures prices. Given this information, the hedge ratio for this currency is A) 1.30. B) 0.77. C) 1.86. D) 0.70 E) 1.43

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