Which of the following statements is true for an FI that holds €200,000 in assets and €250,000 in liabilities?
A) The FI is in a net short position.
B) The FI has net foreign assets of €50,000.
C) The FI faces the risk that the euro will fall in value against domestic currency.
D) All of the listed options are correct.
Correct Answer:
Verified
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