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Which of the following is a typical hedge? A firm postpones the implementation of nuclear power project by 2 years, even though the NPV of
Which of the following is a typical hedge?
A firm postpones the implementation of nuclear power project by 2 years, even though the NPV of the project if implemented today is positive | ||
A firm sells a call option on a debt instrument against a future rise in the cost of borrowing | ||
A firm engages in a vertical merger as a way to diversify its reliance on a single supplier | ||
None of the above |
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