Asked by Ailis Galdo on Jul 24, 2024
Verified
Foreign exchange rates refer to the
A) price at which purchases and sales of foreign goods take place.
B) rate of exchange of goods and services between two trading nations.
C) price of one nation's currency in terms of another nation's currency.
D) difference between exports and imports of a particular nation with another.
Foreign Exchange Rates
The price of one currency in terms of another, determining how much of one currency can be exchanged for another in the foreign exchange market.
Nation'S Currency
The legal tender issued by a country's central bank or government, serving as the medium of exchange within the country.
Exports And Imports
Goods and services sold to other countries (exports) and goods and services purchased from other countries (imports).
- Comprehend the mechanisms of foreign exchange rates and their impact on international trade and financial flows.
Verified Answer
BF
Best for ever AfghanJul 29, 2024
Final Answer :
C
Explanation :
Foreign exchange rates refer to the price of one nation's currency in terms of another nation's currency. In other words, it is the rate at which one currency can be exchanged for another currency. This is important for businesses and individuals engaged in international trade, as well as for investors looking to invest in different currencies.
Learning Objectives
- Comprehend the mechanisms of foreign exchange rates and their impact on international trade and financial flows.