Which is the most simple way that is able to protect a U.S firm's earnings of its consolidated income statement in the depreciation of euro relative to U.S. dollar? A. Selling euros forward in the foreign exchange market. B. Partner with the local firm of the oversea market. C. Purchasing euros forward in the foreign exchange market. D. Establish a subsidiary in the oversea economy.
Which is the most simple way that is able to protect a U.S firm's earnings of its consolidated income statement in the depreciation of euro relative to U.S. dollar? A. Selling euros forward in the foreign exchange market. B. Partner with the local firm of the oversea market. C. Purchasing euros forward in the foreign exchange market. D. Establish a subsidiary in the oversea economy.
Chapter6: Government Influence On Exchange Rates
Section: Chapter Questions
Problem 2SBD
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Which is the most simple way that is able to protect a U.S firm's earnings of its consolidated income statement in the
A.
Selling euros forward in the foreign exchange market.
B.
Partner with the local firm of the oversea market.
C.
Purchasing euros forward in the foreign exchange market.
D.
Establish a subsidiary in the oversea economy.
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