Exam 2: Foreign Exchange and Currency

____________    bond is issued in a local market by a foreign borrower, denominated in local currency

____________  is a negotiable instrument issued by an international depository bank, representing a foreign company stock, trading on global stock Exchanges.

If formula I of Fishers effect is positive, borrow ____________and invest in .

Foreign currency forward market is ____________        

If IRR > WACC, then the Project must be ____________      

An account which is held within a domestic country by a foreign bank, in a currency of domestic country is known as account

If spot USD/INR is 50, and six months forward rate is 51 then AFM is ____________

____________  frames rules and guidelines for Forex Business in India

____________is a market where foreign currencies are bought & sold.

____________Theory states that the exchange rate between currencies of two countries should be equal to the ratio of the countries price levels.

____________    contacts are bilateral contracts.

__________is the smallest unit by which a currency quotation can change.

100 INR/JPY is an indirect quote for ____________  

____________can authorize a person/company to deal in foreign exchange.

____________  is a negotiable instrument issued by a US bank, representing non-US company stock, trading on the US stock Exchange.

An option giving the buyer of the option the right to buy but not an obligation to buy a currency is called ____________  

____________      is a standardized contract to exchange one currency for another at a

The quote 1 GBP = INR 99.85 is a direct quote for .

Inverse quote for USD/DKK 5.7935 - 5.8085 is ____________    

In ADR/GDR process, _ issues depository receipts in foreign markets.