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Which of the following is a correct statement about hedging foreign exchange exposure? A. Swaps are better than futures contracts for hedging foreign exchange rate

Which of the following is a correct statement about hedging foreign exchange exposure?

A.

Swaps are better than futures contracts for hedging foreign exchange rate exposures

B.

None of the above statements are correct

C.

Futures contracts are better than both options and swaps for hedging foreign exchange rate exposures

D.

Neither futures contracts, swaps nor options are effective for hedging foreign exchange rate exposure

E.

Options are better than futures contracts for hedging foreign exchange rate exposures

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