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A company's Chief Financial Officer (CFO) has recently completed an evaluation of the organization's hedging strategy aimed at mitigating financial risk. Considering this context, what conclusions can be drawn from the CFO's assessment concerning the effectiveness and potential adjustments of the current hedging strategy?
A
The CFO's analysis is correct and the company is better off whichever way the EUR rate goes.
B
The CFO's analysis is not correct and the company will suffer if the EUR appreciates sharply against the USD.
C
The CFO's analysis is not correct and the company will suffer if the EUR moves within a narrow range.
D
The CFO's analysis is not correct and the company will suffer if the EUR depreciates sharply against the USD.