The firm chooses to avoid any hedging techniques designed


A US firm sells merchandise today to a British company for £150000. The current exchange rate is $1.55/£, the account is payable in three months, and the firm chooses to avoid any hedging techniques designed to reduce or eliminate the risk of changes in the exchange rate. If the exchange rate changes to $1.58/£ the firm will realize a ______ of _____.

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Financial Management: The firm chooses to avoid any hedging techniques designed
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