A financial instrument that provides its holder a right but no obligation to buy or sell a pre-specified amount of a foreign currency at a pre-determined rate is referred to as ____________

Related MCQs

• The rate of exchange of two currencies on the basis of exchange quotes of other pairs of currencies are derived when a quote of home currency (or desired currency) to any other currency is not available in the Foreign Exchange market is called ____________.
• The purchase and sell of which of the following instrument is effected through Subsidiary General Ledger (SGL) account?
• When the exposed position in a foreign currency is covered through borrowing or lending in the money market, it is called ______________.
• Which one of the following is NOT referred to as ‘Major’ or ‘Hard’ Currency?
• The act of arbitrage that involves three foreign currencies involving three different foreign exchange market is called __________
• Which of the below financial product / instrument cab be traded in the secondary market?
• Below data is available: Spot Exchange Rate 6 Month’s Forward Rate Rs./USD 75.17 Rs. 75.00 So, the forward rate is at ___________________
• The current spot rate for the Euro is Rs. 86,the expected inflation rate is 5 in India and 3 in Europe. What is the expected Spot Rate of Euro one year hence?
• The Rate of Exchange applicable for delivery of Foreign Exchange at a future date is called ______
• Which of the following statements is true? 1. If the amount of good will increases during current year, the difference is treated as purchase of goodwill. 2. If the amount of good will decreases during current year, It will treated as written off.