Question
A European company is considering borrowing a large sum of money and want to know what the risks are if they take out the loan
A European company is considering borrowing a large sum of money and want to know what the risks are if they take out the loan in Japanese Yen instead of Euro. The company does not have any operations in Japan. What are some of the potential risks if the company was to borrow in Japanese Yen (mention exchange rate risk)? How could a currency swap be used to manage such risks?
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Income Tax Fundamentals 2013
Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill
31st Edition
1111972516, 978-1285586618, 1285586611, 978-1285613109, 978-1111972516
