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  3. Study Set
    International Financial Management Study Set 7
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    Exam 12: Managing Economic Exposure and Translation Exposure
  5. Question
    Translation Losses Are ____, While Gains on Forward Contracts Used
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Translation Losses Are ____, While Gains on Forward Contracts Used

Question 47

Question 47

Multiple Choice

Translation losses are ____, while gains on forward contracts used to hedge translation exposure are ____.


A) tax deductible; not taxed
B) not tax deductible; not taxed
C) not tax deductible; taxed
D) tax deductible; taxed

Correct Answer:

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