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To evaluate country risk, MNC's can use a so-called weighted average to calculate a country risk index. a) True b) False If the cross-exchange rate

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To evaluate country risk, MNC's can use a so-called weighted average to calculate a country risk index. a) True b) False If the cross-exchange rate of two nondollar currencies implied by their individual spot rates with respect to the dollar is greater than the cross-exchange rate quoted by a bank, locational arbitrage is possible. a) True b) False

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