Firms might be tempted to order ________ inventory from foreign sources if they thought their currency was about to be ________.
A) less; devalued
B) extra; revalued
C) extra; devalued
D) none of the above

Question

Quizplus · Accepted Answer

Ordering extra inventory from foreign sources would be a way to take advantage of a currency that is about to be devalued, as the cost of the inventory in the foreign currency would be cheaper. Therefore, option C is the correct answer.

Firms Might Be Tempted to Order ________ Inventory from Foreign