Which of the following is NOT identified by your authors as a proactive management technique to reduce exposure to foreign exchange risk?
A) matching currency cash flows
B) cross-currency swaps
C) remaining a purely domestic firm
D) parallel loans

Question

Quizplus · Accepted Answer

The authors do not identify remaining a purely domestic firm as a proactive management technique to reduce exposure to foreign exchange risk. The other options (matching currency cash flows, cross-currency swaps, and parallel loans) are all identified as proactive management techniques to reduce exposure to foreign exchange risk.

Which of the Following Is NOT Identified by Your Authors