Multiple Choice
Assume an FI holds US$250 000 in assets and US$350 000 in liabilities.Which of the following statements is true?
A) The FI has a net long in US$.
B) The FI has a net short in US$.
C) The FI has a net exposure of US$100,000.
D) The FI has a net exposure of -US$100,000.
Correct Answer:
Verified
Correct Answer:
Verified
Q10: Spot market for foreign exchange refers to
Q11: Indirect quote shows the amount of home
Q12: An FI's net exposure can be measured
Q13: Which of the following statements is true?<br>A)FX
Q14: Which of the following is the largest
Q16: An FI that holds more foreign currency
Q17: Assume an Australian FI has US$100 000
Q18: On-balance-sheet hedging involves taking positions in forward
Q19: A net short position exposes an FI
Q20: Assume an Australian FI has US$100 000