What Is Meant by Economic Exposure

Multiple Choice

What is meant by economic exposure?

A) The extent to which a firm's future international earning power is affected by changes in exchange rates
B) The impact of currency exchange rate changes on the reported financial statements of a company
C) The extent to which the income from individual transactions is affected by fluctuations in foreign exchange values
D) The extent to which the quantity of money in circulation rises faster than the stock of goods and services
E) The extent of disparity in prices, when expressed in the same currency, of similar products in different countries