In the foreign exchange market, a spot transaction entails thea.the transfer of bank deposits at a predetermined later period.b.the trading of exports and imports at a predetermined time in the futurec.a prompt (within two days) export-import interchanged.an immediate (within two days) bank deposit swap

A forward currency transaction:Select one:a.Is Always At A Premium Over The Spot Rateb.Means That Delivery And Payment Must Be Made Within One Business Day (Usa/Canada) Or Two Business Days After The Transaction Datec.Calls For Exchange In The Future Of Currencies At An Agreed Rate Of Exchanged.Sets The Future Date When Delivery Of A Currency Must Be Made At An Unknown Spot Exchange Rate

A transaction in which the currencies to be exchanged the next day of the transaction is known asSelect one:a.Ready transactionb.Value todayc.Spot transactionsd.Value tomorrow

The foreign exchange market is where:Question 7Select one:a.exports and imports are traded.b.exports and imports are interchanged for gold bullion.c.different currencies are bought and sold.d.companies organise their foreign long-term financing.

The transaction in which the bank receives foreign currency from the customer and pays him in local currency is a –Select one:a.Purchase transactionb.Sale transactionc.Direct transactiond.Indirect transaction

Physical delivery of foreign exchange has to take place in case of:Select one:a.Future Marketb.Spot Marketc.Forward Marketd.Options Market