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Which of the following hedge creates an obligation? long-term forward contract call option put option All create an obligation If the MNC backs (guarantees) its

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Which of the following hedge creates an obligation? long-term forward contract call option put option All create an obligation If the MNC backs (guarantees) its subsidiary's debt, it may increase the subsidiary's ability to borrow more versus less. True False It is generally easier to hedge translation currency exposure than single transaction currency exposure. True False

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