BUS 357 International Business Week 3 - Quiz

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Ashford University *

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357

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Business

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Jan 9, 2024

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pdf

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BUS 357 International Business Week 3 - Quiz Question 1 0 / 1 pts It is much easier to forecast a future exchange rate for a relatively ________ currency that is pegged to the U.S. dollar, such as the Hong Kong dollar, than for a currency that is ________, such as the Japanese yen. flexible; freely floating You Answered stable; pegged to the dollar Correct Answer stable; freely floating flexible; managed floating Question 2 0 / 1 pts The central bank in the United States is ________. the New York Board of Exchange You Answered the Board of Governors the U.S. Treasury Correct Answer
the Federal Reserve System Question 3 1 / 1 pts Hard currencies are usually ________. not fully convertible Correct! highly liquid undesirable assets volatile in value Question 4 1 / 1 pts A(n) ________ is the right but not the obligation to buy or sell a foreign currency within a certain time period or on a specific date at a specific exchange rate. Correct! option offer bid forward rate
Question 5 1 / 1 pts ________ involve the exchange of currency the second day after the date on which the two foreign exchange traders agree to the transaction. Reverse transactions FX swaps Outright forward transactions Correct! Spot transactions Question 6 1 / 1 pts ________ is a form of locking the value of a country's currency onto another currency. Floating Correct! Dollarization Monetarization Managed floating Question 7
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