What is GM’s foreign exchange hedging policy? GM’s foreign exchange hedging policy has three primary objectives. Its first objective is to reduce cash flow and earnings volatility. Specifically‚ management hedges the company’s transaction exposures and consciously ignores any balance sheet exposures (translation exposures). Second‚ GM aims to minimize the management time and costs dedicated to global FX management. The company employs a passive FX management strategy since an internal study
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------------------------------------------------- FE Hedging Strategies at GM Should MNCs hedge foreign exchange rate risk? Multinational firms hedge foreign exchange risk in order to ensure operational and financial functionality. A MNC should hedge foreign exchange risk so it can prevent cash flow effects of the foreign firm and the decline in value of the equity holder because of the movements in exchange rates. It will also help them to reduce transaction costs when obligated to make payments
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The case examines transactional and translational exposures and alternative responses to these exposures by analyzing two specific hedging decisions by General Motors. Describes General Motors’ corporate hedging policies‚ its risk management structure‚ and how accounting rules impact hedging decisions. The company is considering deviations from prescribed policies because of two significant exposures: an exposure to the Canadian dollar with adverse accounting consequences and an exposure to the
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What do you think is unethical? The countrywide approved everyone to get their loans‚ no matter they have jobs or not‚ no matter they have income or not‚ no matter they have assets or not. The criteria they use may be unethical. They don’t care whether the documents are valid‚ whether they can verify the income‚ whether the appraisal is any good. They just care about getting the loan closed‚ in order to do another loan. The underwriters/ contractors looked through the loan as quick as they can.
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Wei-Hsiang Wang What do you think art is? In my opinion‚ the major purpose of art is to influence someone. Some of the most common types of art in public are paintings‚ photos‚ and sculptures. When I go to the library‚ I would see photos of intellectual people‚ such as Gandhi‚ and Albert Einstein. These photos on the wall can greatly influence my mood and efficiency on studying. When I go to a hospital‚ I would see paintings and pictures that show life. Most of these paintings would have the
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What do you think of “Westernization” in Malaysia? Provide argument and examples. Nowadays‚ we can see there is a lot of westernization in Malaysia. People in Malaysia like to copy the style from western country because they think that country more develop than our country. From my point of view‚ westernization in Malaysia give disadvantages rather than good thing. The westernization gives bad impact to the Malaysian people especially teenagers because we can see that teenagers today have lack
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“What do you think of the kid‚ Curly?” The two men were sitting at a rickety wooden table in the bunkhouse. The wood stove gave off an insufficient amount of heat for the still chilly Spring. “I think he’s a cocky son of of a buck‚ but he can ride; that’s for damn sure. Did you see how he topped off that roan horse‚” Dakota said. “Stuck it on him like patting for a dance.” Old man Stegner won the roan in a poker game at the saloon in town. He was a big‚ good looking rawboned
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What do you think of Mythology? Myth means many things. To some people it means little more than a “lie”. To others it has no truth value‚ but refers to a type of story. To some it’s an ancient story that holds some importance in their life. It is an anonymous‚ traditional story that explains a belief‚ a custom‚ or a mysterious natural phenomenon. The term Myth originated from the Greek word ‘Mythos’ which means story. As time passed these narratives were believed by many people and considered
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world by present in over 220 countries and territories across the globe. For its contributions in past 40 years‚ DHL has become the global leader of the international express and logistics industry to solve the customer fulfill needed and want. 1. Do you think DHL’s branding strategies are suitable for the 21st century? Why or Why not? DHL’s branding strategies are suitable for the 21st century because is the age of modern technologies and namely information technologies. Technology environment is vital
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Guidelines IELTS Candidate Photographs 2009 The following guidelines are provided for centres to follow in the management of test day photos; the decision to accept the photographs submitted by a candidate is at the Administrator’s discretion. ▪ Candidates provide two identical colour photographs that are not more than six months old ▪ Cross reference with passport photograph (if the same has been used check the date of issue of the
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