APU FINC410 Week 4 Assignment

In a 400 to 500 wordsMicrosoft Word document, please respond to the following questions:1) What factors affect a firm’s degree of transaction exposure in a particular currency? For each factor, explain the desirable characteristics that would reduce transaction exposure.2) Explain how a U.S. corporation could hedge net receivables in Malaysian ringgit with a forward contract.Your paper must include at least one external reference (in addition to your book). Refer to the Writing Assignment Grading Criteria for assignment requirements in content, organization, writing style, grammar and APA 6.0 format.Your paper will be automatically submitted to Turnitin in the assignment dropbox. Originality reports will be returned to the faculty and student. Multiple submissions are allowed. For full credit, make sure that your Similarity Index does not exceed 25%. Refer to the following links for APA guidelines. .apastyle.org/”>APA Style.english.purdue.edu/owl/resource/560/01/”>Purdue OWLSubmit your Paper to Assignment 4by Sunday midnight EST, Day 7.GuidelinesWriting Assignment RequirementsContent(60%)Response demonstrates a clear understanding of the key elements of assignment questions.Response thoroughly covers the elements in a substantive manner.Response demonstrates critical thinking and analysis.Content is complete and accurate.Introduction and conclusion provide adequate information on the given topic.Organization(20%)Paper structure is clear and easy to follow.Ideas flow in a logical sequence.Introduction provides a sound introduction to the topic and previews major points.Paragraph transitions are logical and support the flow of thought throughout the paper.The conclusion thoroughly reviews the major points.Writing Style,Grammar, APA Format(20%)Sentences are well constructed, complete, clear, and concise.Words used are specific and unambiguous.The tone is appropriate to the content and assignment.Grammar, spelling and punctuation are correct.APA guidelines (6th edition) are followed, such as headers, citations, references, etc.Effective use of aids, such as sections, summaries, table of contents, indices, and appendices (if appropriate).processactioncancel””>.processactioncancel””>