Multiple Choice
An importer enters into a 60 day forward exchange rate for converting dollars into yuan.The spot exchange rate is 5.28 yuan for 1 dollar.The forward exchange rate is 5.27 yuan for 1 dollar.What is the difference in the amount the importer receives using the forward exchange rate and the spot exchange rate.
A) 100,000
B) 5,000
C) 500
D) 50
E) 250
Correct Answer:
Verified
Correct Answer:
Verified
Q105: _ determines whether the rate of growth
Q106: A currency is said to be externally
Q107: _ is based on the premise that
Q108: The foreign exchange market converts the currency
Q109: The _ market school argues that forward
Q111: A(n)_ is a market in which few
Q112: Without the _ market,international trade and international
Q113: _ exchange rates represent market participants' collective
Q114: When two parties agree to exchange currency
Q115: Without the foreign market exchange,international trade and