Question: Explicate whether a financial manager should hedge or not a FE receivable or payable. Evaluate both of the approaches. The evidence is that practitioners do

Explicate whether a financial manager should hedge or not a FE receivable or payable. Evaluate both of the approaches.

The evidence is that practitioners do not hedge 100% of the time. They hedge about 70% and their great preference is the forward market. Elaborate on the implications of these facts.

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