From the perspective Detroit Co.that has payables in Mexican pesos and receivables in Canadian dollars,hedging the payables would be most desirable if the expected real cost of hedging payables is _______,and hedging the receivables would be most desirable if the expected real cost of hedging receivables is _______.
A) negative;positive
B) zero;positive
C) zero;zero
D) positive;negative
E) negative;negative

Question

Quizplus · Accepted Answer

The Answer of From the perspective Detroit Co.that has payables in Mexican pesos and receivables in Canadian dollars,hedging the payables would be most desirable if the expected real cost of hedging payables is _______,and hedging the receivables would be most desirable if the expected real cost of hedging receivables is _______.
A) negative;positive
B) zero;positive
C) zero;zero
D) positive;negative
E) negative;negative

From the Perspective Detroit Co