Managers of MNCs are typically expected to use currency derivatives for speculation in order to improve profits.
A)True
B)False

Question

Quizplus · Accepted Answer

Managers of MNCs are not typically expected to use currency derivatives for speculation in order to improve profits. The primary purpose of currency derivatives is to manage risks associated with currency fluctuations. While it is possible for managers to use derivatives for speculation, it is not a common or expected practice. The focus remains on managing currency risk, not engaging in speculative activities.

Managers of MNCs Are Typically Expected to Use Currency Derivatives