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Assuming the 30-Day Forward Exchange Rate Were $1 = *30

Question 9

Multiple Choice

Assuming the 30-day forward exchange rate were $1 = *30 and the spot exchange rate were $1 = *20,the dollar is selling at a _____ on the 30-day forward market.


A) premium
B) margin
C) discount
D) subsidy

Correct Answer:

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