Which of the following statements about multilateral netting system are correct?
(i) - each affiliate nets all its inter-affiliate receipts against all its disbursements.
(ii) - it transfers or receives a balance,depending on whether it is a net payer or receiver.
(iii) - the net funds to be received by the affiliates will equal the net disbursements to be made by the affiliates.
(iv) - only two foreign exchange transactions are necessary since the affiliates' net receipts will always be equal to zero.
(v) - only two foreign exchange transactions are necessary since the affiliates' net disbursements will always be equal to zero.
A) Only (i) and (ii)
B) Only (i) , (ii) , and (iii)
C) Only (i) , (ii) , (iii) , and (iv)
D) Only (i) , (ii) , (iii) , and (v)
Correct Answer:
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