Which one of the following is a suggested method

Reference no: EM13282641

Which one of the following is a suggested method of reducing a U.S. importer's short-run exposure to exchange rate risk?

Answer

entering a forward exchange agreement timed to match the invoice date
investing U.S. dollars when an order is placed and using the investment proceeds to pay the invoice
exchanging funds on the spot market at the time an order is placed with a foreign supplier
exchanging funds on the spot market at the time an order is received
exchanging funds on the spot market at the time an invoice is payable

Reference no: EM13282641

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