What do you mean by transactional risk ? How one can overcome these problems?
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Transaction risk refers to the adverse effect that foreign exchange rate fluctuations can have on a completed transaction prior to settlement. It is the exchange rate risk associated with the time delay between entering into a contract and settling it.
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Answer:
Transaction risk refers to the adverse effect that foreign exchange rate fluctuations can have on a completed transaction prior to settlement. It is the exchange rate risk associated with the time delay between entering into a contract and settling it.
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