Which of the following is not a reason for firms to hedge?
A)Firms can hedge less expensively than can their shareholders
B)Shareholders cannot tolerate mark-to-market losses
C)Hedging by corporations can have tax advantages
D)Shareholders are not always aware of their firms' risks
E)none of the above

Question

Quizplus · Accepted Answer

The Answer of Which of the following is not a reason for firms to hedge?
A)Firms can hedge less expensively than can their shareholders
B)Shareholders cannot tolerate mark-to-market losses
C)Hedging by corporations can have tax advantages
D)Shareholders are not always aware of their firms' risks
E)none of the above

Which of the Following Is Not a Reason for Firms