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a) While both hedging and diversification are risk management tools, explain why hedging is the preferred tool for corporate risk management. b) Describe the role
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a) While both hedging and diversification are risk management tools, explain why hedging is the preferred tool for corporate risk management.
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b) Describe the role of ex-dividend date in the payment of cash dividend.
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c) How are American options different from the European options? Which one of them is likely to have a higher value? Why?
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explain using 200 words max
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