All hedging relationships must be highly effective

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All hedging relationships must be “highly effective” to qualify for special financial treatment. What is meant by the term highly effective and why is its measurement important for financial managers?

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Reference no: EM131056929

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All hedging relationships must be highly effective : All hedging relationships must be “highly effective” to qualify for special financial treatment. What is meant by the term highly effective and why is its measurement important for financial managers?
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