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    International Financial Management Study Set 1
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    Exam 11: Managing Transaction Exposure
  5. Question
    If a Firm Is Hedging Payables with Futures Contracts, It
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If a Firm Is Hedging Payables with Futures Contracts, It

Question 46

Question 46

True/False

If a firm is hedging payables with futures contracts, it may end up paying more for the payable than it would have had it remained unhedged if the foreign currency depreciates.

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