Retrieving "Accounts Receivable" from the archives

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1. Currency Risk

   Linked via "accounts receivable"

   Transaction Exposure
   Transaction exposure arises from the risk that currency fluctuations will alter the cash flows involved in foreign currency-denominated transactions that have already been entered into, but not yet settled. This typically affects short-term operational activities, such as accounts receivable (when a company sells goods abroad and expects payment in a foreign currency) or accounts payable (when a company purchases supplies internationally).
   For example, if a [Canadian manufacturer](…