10. What is the basic rationale for hedging? a.to reduce a firm's sensitivity to changes in prices,...
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Question:
10. What is the basic rationale for hedging?
a.to reduce a firm's sensitivity to changes in prices, exchange rates, or interest rates
b.to increase a firm's profit
c.toreducea firm's exposure to a risk
d.derivatives can be used to hedge
e.A and B
f.A and C
g.A and D
h.B and C
i.B and D
j.C and D
k.all but A
l.all but B
m.all but C
n.all but D
o.all are true
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