Multiple Choice
A U.S. firm could issue bonds denominated in euros and partially hedge against exchange rate risk by:
A) invoicing its exports in U.S. dollars.
B) requesting that any imports ordered by the firm be invoiced in U.S. dollars.
C) invoicing its exports in euros.
D) requesting that any imports ordered by the firm be invoiced in the currency denominating the bonds.
Correct Answer:
Verified
Correct Answer:
Verified
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