Question: Consider a multinational company ( MNC ) in the DC that has sales and operations in the FC . To hedge the FX risk the
Consider a multinational company MNC in the DC that has sales and operations in the FC To hedge the FX risk the DC firm could select all that are true:
A Buy a put option FC to DC at today's spot FX
B Write a call option DC to FC at today's spot FX rate
C Buy a call option FC to DC at today's spot FX
D Write a put option DC to FC at today's spot FX rate
E Engage in a futures contract FC to DC to offset translated financial results profit in the DC
F Exercise a futures contract for DC to FC at the financial reporting date
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