1. The gain or loss that results from restating foreign subsidiaries’ financial statements in the home currency is an example of____________ . 2. ___________________ refers to the possibility that a...

1. The gain or loss that results from restating foreign subsidiaries’ financial statements in the home currency is an example of____________ .

2. ___________________ refers to the possibility that a company’s present value of future cash inflows can be affected by exchange rate fluctuations.

3. The mathematical relationship that links changes in exchange rates and changes in price level is called the__________________.

4. The interest rate parity theorem (IRPT) states that the ratio of the forward and spot rates is directly related to the two________________.

5. A dollar deposited in a non-US bank is often called a(n)__________________.