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    Business
  3. Study Set
    International Financial Management
  4. Exam
    Exam 12: Managing Economic Exposure and Translation Exposure
  5. Question
    A Foreign Subsidiary with Expenses That Are More Susceptible to Exchange
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A Foreign Subsidiary with Expenses That Are More Susceptible to Exchange

Question 8

Question 8

True/False

A foreign subsidiary with expenses that are more susceptible to exchange rate movements than its revenue will be favorably affected by an appreciation of the foreign currency.

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