10. A put option is the amount or percentage by which the existing spot rate exceeds...
10. A put option is the amount or percentage by which the existing spot rate exceeds the forward rate.
a. True
b. False
From 1944 to 1971, the exchange rate between any two currencies was typically:
|
a. |
fixed within narrow boundaries. |
|
b. |
floating, but subject to central bank intervention. |
|
c. |
floating, and not subject to central bank intervention. |
|
d. |
nonexistent; that is currencies were not exchanged, but gold was used to pay for all foreign transactions. |
As a result of the Smithsonian Agreement, the U.S. dollar was:
|
a. |
the currency to be used by all countries as a medium of exchange for international trade. |
|
b. |
forced to be freely floating relative to all currencies without any boundaries. |
|
c. |
devalued relative to major currencies. |
|
d. |
revalued (upward) relative to major currencies. |
Homework Answers
Question 10 :
A put option is the amount or percentage by which the existing spot rate exceeds the forward rate.
Answer : Option b. False
Question :
From 1944 to 1971, the exchange rate between any two currencies was typically:
Answer : Option a. fixed within narrow boundaries.
Question :
As a result of the Smithsonian Agreement, the U.S. dollar was:
Answer : Option c. devalued relative to major currencies.
Add Answer to:
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