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Lady bird [3.3K]
3 years ago
5

Parco, Inc., a U.S. entity, has a 100% owned subsidiary, Subco, Inc., located in the country of Eastlaco. In which one of the fo

llowing arrangements would there be no foreign currency exchange risk associated with borrowing by either Parco or its subsidiary, Subco, prior to consolidation?
A. Parco borrows in the currency of Eastlaco.
B. Subco borrows in the U.S. dollar.
C. Subco borrows in the currency of Eastlaco.
D. Parco borrows in the currency of a third country.
Business
1 answer:
slega [8]3 years ago
4 0

Answer: C. Subco borrows in the currency of Eastlaco.

Explanation:

Exchange rate risk only occurs when an entity borrows in a currency that is not their own. This means that if the currency they borrowed in was to appreciate against theirs, they would have to pay more than usual.

Subco is located in Eastlaco so if they borrowed funds in the currency of Eastlaco they would not have to worry about exchange rate risk because they are paying back in their local currency which cannot appreciate or depreciate against itself.

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1) Use desposable cards A.K.A prepaid cards
2) Choose credit cards instead of debit card
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4) Verify if website is safe and secure to use
5) Don't safe any personal information

Use a desposable card also known as a prepaid card. Prepaid cards are like gift cards. You may add or take out money as you wish and are safe to use. 


When using a card, always use credit cards. Credit cards are much safer to use and will always ask for indentificantion information and your personal pin.

Always shop online a home and not in public. You may know who uses your device at home. When shopping in public places like Libraries or cafes, ect. You have no control on who uses those devices and if the device is secure. Another person might be able to use your personal information. 

Verify if website is secure. If the website is not secure and does not have a lock in the top left corner, then the website is NOT secure. There might be hackers which will steal your information and the website was not made for proper use. 

Do not save any information such as safe your credit card number and/or pin. It might be dangerous and a trap to steal your information.




6 0
4 years ago
Read 2 more answers
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Margaret [11]
If you target who you are after and you will know how to reach them easier. You'll also be more focused plus more effective in your marketing strategies and be able to get a greater return on marketing investments.
3 0
3 years ago
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mr_godi [17]

Answer:

b. Somaya just launched an online shoe company

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Explanation:

Pure goods are goods that are not associated with any services.

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I hope my answer helps you.

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I’m not sure but I think it’s A
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