(Answered) Question contractual hedging merck is an mne that has

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Question: Contractual Hedging. Merck is an MNE that has undertaken contractual hedging of its operating exposure.

a. How do they accomplish this task?

b. What assumptions do they make in order to justify contractual hedging of their operating exposure?

c. How effective is such contractual hedging in your opinion? Explain your reasoning.

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