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A US-Based Company That Exports Goods and Has Accounts Receivable Denominated

Question 86

Multiple Choice

A U.S.-based company that exports goods and has accounts receivable denominated in a foreign currency ________.


A) faces no risk if the relations between the countries get rough
B) faces the risk that the U.S. dollar will depreciate in value relative to the foreign currency
C) faces the risk that the U.S. dollar will appreciate in value relative to the foreign currency
D) faces the risk that the foreign currency would appreciate in value relative to the U.S dollar

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