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What does it mean when we say that the correlation coefficient for two variables is -1? What does it mean if this value were zero? What does it mean if it were +1?Correlation is calculated by the correlation coefficient, denoted by the letter r. The correlation coefficient can take on values among +1.0 (perfect positive correlation) to -1.0 (perfect negative correlation). The closer r is to +1.0, the much more the two variables will tend to move along with each other at similar time. The closer r is to -1.0, the much more the two variables will tend to move opposite each other at similar time. An r value of zero points out that the variables’ values aren't related at all. This is termed as statistical independence.
The exchange rate uncertainty may not essentially mean that firms face exchange risk exposure. Describe why this may be the case. Answer: A firm can comprise a natural hedging p
how do legal consideration affect a firms credit policy
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