If You Have a Commitment to Pay a Friend in Britain

question 112

Multiple Choice

If you have a commitment to pay a friend in Britain 1,000 pounds in 30 days,you could remove the risk of loss due to the appreciation of the pound by:

• A) Buying dollars in the forward market for delivery in 30 days
• B) Selling dollars in the forward market for delivery in 30 days
• C) Buying the pounds in the forward market for delivery in 30 days
• D) Selling the pounds in the forward market for delivery in 30 days

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Definitions:

MAO Inhibitors

A class of medications used to treat depression by preventing the breakdown of neurotransmitters in the brain, enhancing mood-regulating pathways.

Tricyclic Antidepressants

A class of medications used to treat depression, characterized by their chemical structure and mechanism of action on neurotransmitters.

Norepinephrine

A neurotransmitter and hormone involved in arousal, alertness, and the stress response.

Serotonin

A neurotransmitter involved in regulating mood, appetite, and sleep, among other functions, and is often linked to feelings of well-being and happiness.