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    International Financial Management
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    Exam 9: Measuring and Managing Real Exchange Risk
  5. Question
    What Production Process Is Sensitive to the Real Exchange Rate
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What Production Process Is Sensitive to the Real Exchange Rate

Question 24

Question 24

Multiple Choice

What production process is sensitive to the real exchange rate because its fluctuations affect the demand for the firm's products?


A) input sourcing
B) production scheduling
C) plant location decisions
D) pricing policies

Correct Answer:

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