Transcription of Hedge Accounting - Forward Contracts - baroda …
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Hedge Accounting ( ). Forward Contracts Agenda Introduction to Hedging Definitions Types of hedging relationships z Fair value Hedge z Cash flow Hedge z Net investment Hedge AS-11 V/s. AS-30 framework Hedging Policy & Hedge Accounting RANBAXY moving towards maturity ? Q&A. 2. Agenda Introduction to Hedging Definitions Types of hedging relationships z Fair value Hedge z Cash flow Hedge z Net investment Hedge AS-11 V/s. AS-30 framework Hedging Policy & Hedge Accounting RANBAXY moving towards maturity ? Q&A. 3. Types of exposures Transaction exposure Most common in today's business environment, this relates to foreign exchange rates fluctuation translation exposure Arises from the need to translate foreign currency assets / liabilities into the home currency Economic exposure Change in the exchange rates of another currency may worsen / boost competitiveness. 4. Why Hedge ? Knocking the doors of global market can be an effective way of expanding business.
Types of exposures Transaction exposure Most common in today’s business environment, this relates to foreign exchange rates fluctuation Translation exposure
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December 1987 Foreign Currency, December 1987 Foreign Currency Translation, Foreign currency translation, Currency, Foreign, Foreign Exchange Management CA Rajkumar, RECOGNITION AND ENFORCEMENT OF FOREIGN, Recognition and enforcement of foreign arbitral awards, THE RELATIONSHIP BETWEEN EXCHANGE RATES, CASE, Techniques for Managing Exchange Rate, Fixed Assets