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1 year ago

hedging, or reducing risk, is the same as adding value or return to the firm. group of answer choices true false

Business

1 answer:

pychu [463]1 year ago

4 0

false Hedging, or lowering risk, is the same as increasing the firm's value or return.

<h3>How might currency risk be reduced through hedging?</h3>

hedging to reduce the risk of currency loss. Foreign exchange risk is an unavoidable reality for businesses doing business in other countries, although hedging can help reduce the risk. By taking a contrary position in a comparable asset, the hedging technique seeks to reduce risks associated with financial assets.

<h3>What does hedge mean?</h3>

A approach for reducing the risks associated with financial assets is hedging. It uses market tactics or financial instruments to reduce the risk of any unfavorable price changes. To put it another way, investors use a trade in another investment to protect one investment.

To know more about hedging, or reducing risk, visit:-

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Francine wants to become a school counselor. Which is the academic requirement for this career?

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The academic career to become a school counsellor can be either bachelor in Psychology, Education or any other related field. This is because of these academic tracks deals and interacts with people. School counsellors need to be open and ready to interact with students, teachers and parents.

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3 years ago

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Jonathan Mfg. adopted a job-costing system. For the current year, budgeted cost driver activity levels for direct labor hours an

Hitman42 [59]

Answer:

C. $ 7,500

Explanation:

Estimated direct labor cost $ 100,000

Estimated direct labor hours 20,000 hours

Predetermined rate per direct labor hours $ 5 per direct labor hour

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Applied overhead based on the predetermined overhead

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3 years ago

investment is made at r percent compounded annually, at the end of n years it will have grown to A = P(1 + r)n . An investment m

bixtya [17]

Answer:

$1,500

Explanation:

Given the compounding formula $A = P(1+r)^{n}$

And given an investment (P), made at 16% compounded annually (r), and an ending amount of $1,740 (A) at the end of the year (n = 1 year), the original amount invested (P) can be computed as follows.

$1,740 = P(1+0.16)^{1}$

$1,740 = P * 1.16$

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Therefore, the original investment was $1,500.

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3 years ago

Using the AS-AD and IS-LM models, show the effects of an increase in consumer confidence on the position of the AD, AS, IS, and

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Answer: hello your question has some missing information below is the missing information

Suppose the economy begins with output equal to its natural level. Then there is an increase in consumer confidence and households attempt to consume more for a given level of disposable income.

answer :

Attached below

Explanation:

IS-LM modeling curves intersects and it also defines the value of r and Y where r ( rate of interest ) Y( output level )

The AS-AD modeling is in equilibrium where aggregate demand curve and short run and long run aggregate supply curves intersects each other defining P and Y

p ( price level ) , Y ( output level )

<em>Note : Increase in aggregate demand shifts IS outward , raises interest rate and output level</em>

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3 years ago

In a market economy, a high price is a signal for:___________.1. Producers to supply more and consumers to buy less. 2. Producer

shepuryov [24]

Answer: Answer is 1

Explanation:

In a market economy, a high price is a signal for producers to supply more and consumers to buy less.

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