A Forward Exchange Contract Is Being Transacted at a Premium

question 46

Multiple Choice

A forward exchange contract is being transacted at a premium if the current forward rate is

• A)​less than the expected spot rate.
• B)​greater than the expected spot rate.
• C)​less than the current spot rate.
• D)​greater than the current spot rate.

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Definitions:

Organizational Productivity

Refers to how efficiently an organization can convert inputs into outputs while maximizing quality and quantity.

Employee Turnover

The rate at which employees leave a company and are replaced by new employees, affecting organizational stability and knowledge continuity.

Family Friendly

Policies or practices that are supportive of employees' family responsibilities, such as flexible working hours or parental leave.

Job Design Theory

A concept in organizational psychology that focuses on organizing work tasks to improve job satisfaction, efficiency, and productivity.