Which of the following is not a risk that can be hedged? A) Flood B) Commodity prices C) Interest rate movements D) Exchange rate movements

Question

Quizplus · Accepted Answer

While it is possible to hedge against many risks, such as commodity prices, interest rate movements, and exchange rate movements, a flood is a natural disaster that cannot be completely mitigated through hedging. Insurance may provide some protection, but it cannot completely eliminate the risk of a flood.

Which of the Following Is not a Risk That Can