Type of risk in which value of liabilities and assets is affected by exchange rate is classified as
A. economic rates
B. foreign exchange risk
C. selling rate
D. buying rates
Answer: Option B
Solution(By Examveda Team)
Type of risk in which value of liabilities and assets is affected by exchange rate is classified as foreign exchange risk. Foreign exchange risk refers to the losses that an international financial transaction may incur due to currency fluctuations.Related Questions on International Finance and Treasury
A. The British Pound
B. The Japanese Yen
C. The Spanish Peso
D. The US Dollar
Not a profit maximizing business is
A. International Monetary Fund
B. International bank for Reconstruction and Development
C. International Financial Corporation
D. World Trade Organisation
A. Merchandise Payment
B. Service Payment
C. Factory Income
D. Transfer payment
Nations that have major economic expansion attract
A. Imports
B. Direct Foreign Investment
C. Exports
D. Privatization
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