- CFA Exams
- CFA Level I Exam
- Topic 3. Corporate Issuers
- Learning Module 4. Working Capital and Liquidity
- Subject 3. Managing Working Capital and Liquidity
CFA Practice Question
If a company's business revenues and financing are in different currencies, they can use ______ to hedge its currency exposure. A. currency forwards and options
B. currency rollover
C. asset substitution
Correct Answer: A
It may be difficult to find a long-term solution in the derivative market. The best option is try to use the same currency in its operations and financing.
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