Which of the following statements are true??

a) Transaction exposure is inherent in all foreign currencies denominated contractual transactions b) Transaction exposure relates to the change in accounting income and balance sheet statement caused by change in exchange rate c) Economic exposure has an impact on the valuation of a firm d) Operating exposure does not have any impact on the firm’s […]

Choose the correct code.

Statement 1: An option which gives its holder the privilege of selling to other party a fixed amount of some stock at a stated price on or before a predetermined date is known as call option. Statement 2: In a option, the holder has the privilege of purchasing from other party a fixed amount of […]