[Checkbox: 1, 2, 3, or 4 options may be needed to form the correct answer]. You operate in multiple countries with their own currencies. You can minimise your currency risk by: Switch your operations to only use one currency Buying futures (forward) contracts locking in the exchange rate Do a carry trade (borrow in one currency and invest in another) Exchanging funds when rates move in your favour Which of these takes into account the time value of money?" O Internal Rate of Return O Average rate of return Payback period Short term liabilities

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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[Checkbox: 1, 2, 3, or 4 options may be needed to form the correct answer].
You operate in multiple countries with their own currencies. You can
minimise your currency risk by:
Switch your operations to only use one currency
Buying futures (forward) contracts locking in the exchange rate
Do a carry trade (borrow in one currency and invest in another)
Exchanging funds when rates move in your favour
Which of these takes into account the time value of money?"
Internal Rate of Return
O Average rate of return
Payback period
Short term liabilities
Transcribed Image Text:[Checkbox: 1, 2, 3, or 4 options may be needed to form the correct answer]. You operate in multiple countries with their own currencies. You can minimise your currency risk by: Switch your operations to only use one currency Buying futures (forward) contracts locking in the exchange rate Do a carry trade (borrow in one currency and invest in another) Exchanging funds when rates move in your favour Which of these takes into account the time value of money?" Internal Rate of Return O Average rate of return Payback period Short term liabilities
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