Question
A firm in India has to pay €5 million in 3 months.
They expect the rupee to depreciate against the euro. Which of the following hedging tools will best protect them from this risk?Solution
Futures contracts lock in the exchange rate, offering protection from currency fluctuations. By buying EUR futures, the company can secure the conversion rate, avoiding losses from rupee depreciation.
What is the primary purpose of classifying PSUs into categories like Maharatna, Navratna, and Miniratna?
Mission for Integrated Development of Horticulture (MIDH), cold storages are sanctioned by State & Central level committees. What is the eligible cold s...
India participated in the ITU’s WSIS+20 Forum High-Level Event and ‘AI for Good’ Global Summit from 27 to 31 May 2024. Which organization(s) co-h...
As per the information by the Director General of Commercial Intelligence and Statistics (DGCIS), the share of export of MSME Specified products in all ...
As per RBI guidelines, ‘Bulk Deposit’ in the case of RRBs mean a Single Term Deposit of _______ and above.
Which of the following Statements about Multiplier Effect is/are True?
I- When the government spends a rupee, overall income rises by a multiple ...
Which of the following is not one of the five PVTGs of Andaman & Nicobar Islands?
How many kilometers of inland waterways will be built to navigable waterways and strategic locations on key international maritime trade routes?
Under Ayushman Bharat –Health and Wellness Centres (AB-HWCs), what healthcare services are provided free of cost to all citizens of the country?
Consider the following Statements.
(i) As part of AtmaNirbhar Bharat Abhiyan stimulus package, the Department has launched Animal Husbandry in...
