Please select all that apply Consider a firm in the DC that sells it...
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Finance
Please select all that apply
Consider a firm in the DC that sells it output to a retailer in the FC. To hedge the FX risk the DC firm could (select all that are true): (3) Write a call option DC to FC at today's spot FX. Purchase a fututes contract for DC to FC at today's spot rate. Purchase a futures contract for FC to DC to offset lost sales Purchase a call option for FC to DC at today's spot rate Exercise a call option DC to FC at today's spot rate Write a put option for FC to DC at today's spot rate
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