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Commerce · Q271

Business Finance

Graduate and Post Graduate · Commerce · question 271

Q271

Hedging is used by companies to

A.
Decrease the variability of expected cash flows
Answer
B.
Decrease the spread between spot and forward market quotes
C.
Increase the variability of expected cash flows
D.
Increase the variability of tax paid

Answer: Option A

Solution

Answer: Option A
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