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It is a US dollar that deposits in non-US banks which are used by corporations in order to receive higher yields.*1 pointA. Eurodollar fixed-rateB. Eurodollar floating-rateC. EurodollarsD. Eurocurrency

Question

It is a US dollar that deposits in non-US banks which are used by corporations in order to receive higher yields.*1 pointA. Eurodollar fixed-rateB. Eurodollar floating-rateC. EurodollarsD. Eurocurrency

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Solution

The correct answer is C. Eurodollars. These are US dollars that are deposited in non-US banks and are often used by corporations to receive higher yields.

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