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Question 2 1 pts Which of the following statement is FALSE? Firms may be able to create value for their shareholders by issuing securities in
Question 2 1 pts Which of the following statement is FALSE? Firms may be able to create value for their shareholders by issuing securities in foreign as well as domestic markets when international financial markets are not fully integrated An exporter can successfully hedge its account receivables by buying FX forward. O Managers understand the impact of FX changes on assets and liabilities better than the impact of FX movements on operating cash flows because changes to assets and liabilities are more easily and readily measurable than factors that can impact operating cash flows over a long period of time Unexpected exchange rate changes can alter the operating cash flow of a domestic firm. O Larger firms are more likely to hedge currency exchange rate risk than smaller firms
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