Under Exchange rate system, value of currency is decided by the market forces of demand and supply.

Related MCQs

• Under Exchange rate system, there is no interference of monetary authorities to decide exchange rate.
• __________ is a standardized contract to exchange one currency for another at a special date in the future at a price (exchange rate) that is fixed on the purchase date.
• Price of _________-- currency in terms of national currency.
•                      is a standardized contract to exchange one currency for another at a
• When a company has receipts & payments in the same foreign currency due at the same time, it can use technique of managing foreign exchange risk.
• _________ deal in currencies to benefit from movements in currency exchange markets.
• Under ____________ there is no interference of monetary authorities to decide exchange rate.
• Foreign currency forward market is                        
•                    bond is issued in a local market by a foreign borrower, denominated in local currency
•                    bond is issued in a local market by a domestic borrower, usually denominated in local currency