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Which of the following statement(s) regarding currency option hedge is correct? A. Currency put options should be purchased to hedge net receivables. B. A price

Which of the following statement(s) regarding currency option hedge is correct?

A. Currency put options should be purchased to hedge net receivables.

B. A price (premium) need to be paid for the option itself.

C. Currency option hedge does not allow the firm to benefit from favorable exchange rate movements.

D. A and B

E. All of the above

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