An MNC expects to sell fixed assets it utilizes in the US in the distant future. In order to hedge the sale of these assets in the distant future, the MNC could create a(n) ____ that ____ the expected value of the assets in the future.

Question

Quizplus · Accepted Answer

The MNC should create a liability that matches the expected value of the assets in the future to effectively hedge against potential changes in value.

An MNC Expects to Sell Fixed Assets It Utilizes in the US