« previous next »

Author Question: Which of the following has the least interest rate risk? A) an AT&T bond maturing in 15 years ... (Read 57 times)

fox

  • Hero Member
  • *****
  • Posts: 540
on: Jul 10, 2018
Which of the following has the least interest rate risk?
 
  A) an AT&T bond maturing in 15 years
  B) a 15-year U.S. Treasury bond
  C) a six-month unsecured promissory note from International Harvester
  D) an eight-year investment certificate from a federally insured bank

Question 2

A U.S.-based multinational corporation has 100 owned subsidiary in Argentina. The subsidiary
  operates only domestically, that is, all transactions occur within Argentina. Therefore, the U.S.
  multinational corporation
 
  A) is exposed to translation risk only.
  B) is most concerned with transactions exposure.
  C) is not exposed to exchange rate risk because the subsidiary operates 100 domestically.
  D) is exposed to both translation exposure and economic exposure.


sultana.d

  • Sr. Member
  • ****
  • Posts: 320
Reply #1 on: Jul 10, 2018
Answer to Question 1

C

Answer to Question 2

D


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
« previous next »
 

Did you know?

Approximately one in three babies in the United States is now delivered by cesarean section. The number of cesarean sections in the United States has risen 46% since 1996.

Did you know?

Giardia is one of the most common intestinal parasites worldwide, and infects up to 20% of the world population, mostly in poorer countries with inadequate sanitation. Infections are most common in children, though chronic Giardia is more common in adults.

Did you know?

Though “Krazy Glue” or “Super Glue” has the ability to seal small wounds, it is not recommended for this purpose since it contains many substances that should not enter the body through the skin, and may be harmful.

Did you know?

After a vasectomy, it takes about 12 ejaculations to clear out sperm that were already beyond the blocked area.

Did you know?

To maintain good kidney function, you should drink at least 3 quarts of water daily. Water dilutes urine and helps prevent concentrations of salts and minerals that can lead to kidney stone formation. Chronic dehydration is a major contributor to the development of kidney stones.

Astronomers identified 12-billion-year-old white dwarf stars only 100 light years away from Earth Astronomers identified 12-billion-year-old white dwarf stars only 100 light years away from Earth
History of the number of observed sunspots during the last 250 years, which shows the ~11-year solar History of the number of observed sunspots during the last 250 years, which shows the ~11-year solar
Risk for falls cont'd Risk for falls cont'd
Algorithm for assessing a patient at risk for self-directed violence. Algorithm for assessing a patient at risk for self-directed violence.
Ionic Bond: Sodium Chloride Ionic Bond: Sodium Chloride
Earth 200 Million Years Ago Earth 200 Million Years Ago
Video: Reflex arc construction

For a complete list of videos, visit our video library