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    International Financial Management
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    Exam 10: Measuring Exposure to Exchange Rate Fluctuations
  5. Question
    If the Net Inflow of One Currency Is About the Same
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If the Net Inflow of One Currency Is About the Same

Question 15

Question 15

True/False

If the net inflow of one currency is about the same amount as a net outflow in another currency, the firm will benefit if these two currencies are negatively correlated because the transaction exposure is offset.

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