3. A US multinational company is required to report its financial results in US

Question

3. A US multinational company is required to report its financial results in US dollars. How does this create currency exchange risk for the company? What is the term which most accurately describes this particular risk? 4. Identify and describe the ways in which a US company can participate in international commerce. 5. The price of a currency forward contract is determined by the relationship between interest rates of the two countries in question and the time period covered by the contract. Is this statement exactly true, partly true or false. Explain your response.

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Posters rating is not 100%. Hence Pl dont answer this post as this person has been irresponsible in rating answers. So he don't deserve any solutions here. First make him rate all pending posts truthfully & also pledge that he will rate all answers within 2 days to be eligible for help from Educators & others. Till such time, just ignore all posts where rating is not 100%. This will make Cramster a better forum to contribute. Amen...

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