Managed Float Means

question 20

Multiple Choice

Managed float means

• A)a fixed exchange rate system with regularly scheduled periodic devaluations
• B)a freely floating exchange rate system
• C)a hybrid of freely floating exchange rates with occasional intervention by central banks
• D)a fixed exchange rate system managed by the European Community
• E)a flexible exchange rate system managed entirely by the IMF

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Definitions:

Liquidation

The process of converting assets into cash or other forms of payment to settle debts with creditors during the closure of a business.

Stockholders

Individuals or entities that own shares in a corporation, giving them ownership interests.

Corporation

A legal entity that is separate from its owners, providing limited liability protection, and having the capacity to own assets, incur liabilities, and sell stock.

Paid-in Capital

The amount of capital "paid in" by investors during common or preferred stock issuances, including the par value of the shares themselves plus any amount paid in excess.