The particular strategy of trying to offset inflows of cash from one country with outflows of cash in the same currency is known as
A) hedging.
B) diversification.
C) matching.
D) balancing.

Question

Quizplus · Accepted Answer

The particular strategy of trying to offset inflows of cash from one country with outflows of cash in the same currency is known as matching. Hedging refers to protecting against potential losses through the use of financial instruments such as options and futures. Diversification refers to spreading investments across different assets or markets to mitigate risk. Balancing may refer to various financial strategies, but it is not a specific term used to describe this particular strategy.

The Particular Strategy of Trying to Offset Inflows of Cash