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Which of the following are true statements? Since translation exposure does not have an immediate direct effect on operating cash flows, its control is relatively
Which of the following are true statements?
Since translation exposure does not have an immediate direct effect on operating cash flows, its control is relatively unimportant in comparison to transaction exposure, which involves potential real cash flow losses | ||
Two ways to control translation risk are: a balance sheet hedge and a derivatives hedge. | ||
Both statements listed here are true. |
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