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81
Bid quote is for
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Answer & Solution
Answer: Option B
Solution:
Bid quote is for buyer. The bid price represents the maximum price that a buyer is willing to pay for a share of stock or other security.
82
Bid-ask spread in foreign exchange market is the
Discuss
Answer & Solution
Answer: Option B
Solution:
Bid-ask spread in foreign exchange market is the difference between bid and ask quotes for a currency. A bid-ask spread is the amount by which the ask price exceeds the bid price for an asset in the market. The bid-ask spread is essentially the difference between the highest price that a buyer is willing to pay for an asset and the lowest price that a seller is willing to accept.
83
Not aim of international capital market is
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Answer & Solution
Answer: Option A
Solution:
Not aim of international capital market is reducing cost of money to borrowers. An international capital market is a financial system by which governments, companies and individuals borrow and invest money trans-nationally. It is comparable to a capital market, which enables government entities, companies and individuals to borrow and invest domestically.
84
Which of following causes do investors employ foreign exchange market
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Answer & Solution
Answer: Option D
Solution:
Market currency hedging, currency speculation and currency conversion are the causes do investors employ foreign exchange.
85
In 1944 international accord is recognized as
Discuss
Answer & Solution
Answer: Option A
Solution:
In 1944 international accord is recognized as Breton Wood Agreement. The Bretton Woods Agreement was negotiated in July 1944 to establish a new international monetary system, the Bretton Woods System.
86
If a company agreements today for several future date of real currency exchange, they will be building use of a
Discuss
Answer & Solution
Answer: Option B
Solution:
If a company agreements today for several future date of real currency exchange, they will be building use of a forward rate. A forward rate is an interest rate applicable to a financial transaction that will take place in the future.
87
International Money Market is for about
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Answer & Solution
Answer: Option D
Solution:
International Money Market is for about 1 years. The international money market is a market where international currency transactions between numerous central banks of countries are carried on. The transactions are mainly carried out using gold or in US dollar as a base.
88
Case of foreign exchange
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Answer & Solution
Answer: Option A
No explanation is given for this question. Let's Discuss on Board
89
Gold standard introduced in
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Answer & Solution
Answer: Option C
Solution:
Gold standard introduced in 1876. Gold standard, monetary system in which the standard unit of currency is a fixed quantity of gold or is kept at the value of a fixed quantity of gold. The currency is freely convertible at home or abroad into a fixed amount of gold per unit of currency.
90
Market in which currencies buy and sell and their prices settle on is called the
Discuss
Answer & Solution
Answer: Option D
Solution:
Market in which currencies buy and sell and their prices settle on is called the foreign exchange market. The foreign exchange market (also known as forex, FX or the currency market) is an over-the-counter (OTC) global marketplace that determines the exchange rate for currencies around the world. Participants are able to buy, sell, exchange and speculate on currencies.