The Foreign Exchange Rate Is

question 48

Multiple Choice

The foreign exchange rate is:

• A)an entry in the current account.
• B)the price of a foreign good in the world market.
• C)an entry in the capital account.
• D)an entry in the balance of trade.
• E)the cost of one currency in terms of another.

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Definitions:

Foreign Investment

Investment by individuals or companies in assets or businesses located in another country.

Duty Drawbacks

Duty drawbacks are refunds of customs duties paid on imported materials that are later exported, either in the same or a modified form, encouraging international trade.

Foreign Corrupt Practices Act

A United States federal law that aims to prevent the bribery of foreign officials for business purposes and ensure accounting transparency.

Bribery Charges

Legal accusations against individuals or entities for offering, giving, receiving, or soliciting something of value to influence actions or decisions of officials or representatives.