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  3. Study Set
    International Financial Management Study Set 1
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    Exam 11: Managing Transaction Exposure
  5. Question
    Cross-Hedging May Involve Taking a Forward Position in a Currency
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Cross-Hedging May Involve Taking a Forward Position in a Currency

Question 3

Question 3

True/False

Cross-hedging may involve taking a forward position in a currency that is highly correlated with the currency an MNC needs to hedge.

Correct Answer:

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