Which of the following is a basic hedging technique during a depreciation?
A)buy local currency forward
B)sell a local currency put option
C)reduce levels of local currency cash and marketable securities
D)loosen credit increase local currency receivables.

Question

Quizplus · Accepted Answer

Reducing levels of local currency cash and marketable securities minimizes exposure to the depreciating currency, thus protecting against losses.

Which of the Following Is a Basic Hedging Technique During