If a sale made in a foreign subsidiary is in the local currency, and there is a time lag on payment,
A. there is no transaction risk because the currency is local.
B. economic risk may be present.
C. interest may be due.
D. there is likely to be exchange risk.
Answer: D
You might also like to view...
In the book’s discussion of leadership, power is described as ______.
A. a relational concern for both leaders and followers B. use of force over others to manipulate them C. letting any follower do whatever he or she wants D. forcing people to engage in extreme behaviors
Auditors request the client to book all known misstatements, even if the recording cost is very high so that there are no carryovers from year to year
a. True b. False Indicate whether the statement is true or false
Designing and producing new products that customers want and doing it frequently and efficiently is associated with which of the eight key supply chain processes?
a. Customer service management b. Customer relationship management c. Manufacturing flow management d. Product development and commercialization
Choose the correct word or words in parentheses. The loan I secured to pay for my college education is (a, an) obligation I take very seriously