Question
An Indian company receives a large export order payable
in USD after 6 months. The management fears rupee appreciation in this period. To hedge the risk, the treasury team uses a forward contract at ₹83/USD. However, on the settlement day, the spot rate is ₹81/USD. What is the financial implication of the hedge?Solution
Since the spot rate is ₹81 and the company is locked in at ₹83 via forward, they will receive less in comparison to the spot—resulting in an opportunity loss, though the hedge served its purpose of certainty.
Which of the following statement is/are correct regarding the “Ayushman Bharat scheme”?
I. Ayushman Bharat Yojana or...
Consider the following figure :
Which country was the first to sign a Social Security Agreement (SSA) with India in 2006?
What is the first step in the accounting cycle?
To which theory of conservation is related the first law of thermodynamics ?
The apparent position of a star keeps on changing slightly because:
What is the designated theme for the World Health Day in 2023?
Income of A is twice the income of B. B and A spend 60% and 70% respectively of their incomes. Find the savings of A, if B saves Rs. 15000 in a month.
Which one of the following statements regarding the levying, collecting and distribution of Land Revenue is correct?
Which of the following is responsible for facilitating dialogue between employers and employees at the workplace under the Industrial Disputes Act, 1947?
