How are derivatives recorded?
Chapter22: International Financial Management
Section: Chapter Questions
Problem 1QTD
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How are derivatives recorded?
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Step 1
Derivatives:
Derivatives are some financial instruments which are meant for managing risk and safeguard the risk created by other financial instruments. These financial instruments derive the values from the future value of underlying security or index. Some examples of derivatives are forward contracts, interest rate swaps, futures, and options.
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