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Why is the size of the stack so important to the cash-flow effects of the stack-and-roll hedge but less important to the profit-and-loss effects when
- Why is the size of the stack so important to the cash-flow effects of the stack-and-roll hedge but less important to the profit-and-loss effects when hedge accounting is used?
- In common-sense terms, explain why the profit-and-loss effects of a stack-and-roll hedge do not depend on the direction of change in oil prices when hedge accounting is used.
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