An MNC issuing pound-denominated bonds may be completely insulated from exchange rate risk associated with the bond if its foreign subsidiary makes the coupon and principal payments of the bond with its pound receivables.
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Q9: A parallel loan represents simultaneous loans provided
Q10: Parallel loans are particularly attractive when an
Q11: The global trade association that is credited
Q12: If an MNC issues bonds denominated in
Q13: When an MNC finances with a floating
Q15: A floating coupon rate is an advantage
Q16: When estimating the cost of debt financing
Q17: Foreign subsidiaries of U.S. MNCs can avoid
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Q19: Even if a foreign interest rate is
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