Question
OmuOmu Ltd. is an Australian firm and has some expenses and revenue in USD. If its expenses are more sensitive to exchange rate movements than
OmuOmu Ltd. is an Australian firm and has some expenses and revenue in USD. If its expenses are more sensitive to exchange rate movements than its sales is, it could reduce economic exposure by ____.
A. selling forward contract
B. increasing local revenues
C. increasing foreign revenues
D. increasing foreign expenses
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Investment Science
Authors: David G. Luenberger
1st Edition
0195108094, 978-0195108095
