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  3. Study Set
    International Financial Management Study Set 1
  4. Exam
    Exam 20: Short-Term Financing
  5. Question
    Firms That Believe the Forward Rate Is an Unbiased Predictor
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Firms That Believe the Forward Rate Is an Unbiased Predictor

Question 2

Question 2

True/False

Firms that believe the forward rate is an unbiased predictor of the future spot rate will prefer borrowing the foreign currency.

Correct Answer:

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