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  2. Topic
    Business
  3. Study Set
    Modern Advanced Accounting
  4. Exam
    Exam 11: Translation and Consolidation of the Financial Statements of Foreign Operations
  5. Question
    The Risk Exposure Resulting from the Possible Reduction in Terms
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The Risk Exposure Resulting from the Possible Reduction in Terms

Question 2

Question 2

Multiple Choice

The risk exposure resulting from the possible reduction in terms of the domestic reporting foreign currency,of the discounted future cash flows generated from foreign investments or operations due to real changes in exchange rates is referred to as:


A) Translation (accounting) exposure.
B) Transaction exposure.
C) Economic exposure.
D) Business risk.

Correct Answer:

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