Question
A U.S firm that is owed a specified amount of money denominated in a foreign currency can hedge its position by: **there are two answers
A U.S firm that is owed a specified amount of money denominated in a foreign currency can hedge its position by:
**there are two answers
A. going long futures contract in that foreign currency
B. writing put options in that foreign currency
C. borrowing money in that foreign currency, immediately covering it to U.S dollars at the spot rate and investing those funds in the U.S treasuries
D. going long forward contracts in that foreign currency
E. going short futures contracts in that foreign currency
F. buying put options in that foreign currency
G. borrowing money in that foreign currency and immediately covering it to U.S dollars at the spot rate
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