An international firm is said to have transaction exposure when

a. the firms consolidated financial statements can be affected by exchange rate changes.

b. the firm is going to receive or pay a promised amount in a foreign currency and the home currency value of the receivable or payable can be affected by exchange rate changes.

c. the firm is owning an asset in a foreign country and the home currency value of the asset can be affected by unexpected exchange rate changes.

d. the firm has products sold in foreign markets and the foreign operating cash flows can be affected by unexpected exchange rate changes.