LONG-TERM INVESTMENTS Definition

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LONG-TERM INVESTMENTS represents the investments a company intends to hold for over a one year period. For example: real estate, cash, stocks and bonds..

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HEDGING is strategy focused upon reducing exposure to risk of loss resulting from fluctuations in exchange rates, commodity prices, interest rates etc. Hedging in securities is taking two positions that will offset each other if prices change, thereby limiting financial risk.

SPONTANEOUS ASSETS are assets that arise automatically, in the course of operating a company day-to-day, when a company purchases assets and they are delivered.

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