A _____ Is a Simultaneous Buy and Sell of a Currency

question 47

Multiple Choice

A _____ is a simultaneous buy and sell of a currency for two different dates.

• A)spot rate
• B)currency conversion
• C)currency futures contract
• D)currency swap
• E)currency option

---

Definitions:

Nonnegotiable

An item or condition that cannot be altered or discussed for change.

Three-Party Instrument

A financial document or contract involving three parties, where one party is typically promised payment by another, with the third acting as a guarantor or intermediary.

Payment Fund

A reserve of money that is set aside to cover future payments, debts, or expenses.

Fixed Amount

A precise sum or quantity that does not change or vary.