Jason Works in Finance at an MNE

question 6

Multiple Choice

Jason works in finance at an MNE.Part of his job is to invest large sums of money in various markets.His latest transaction was investing $10,000 in British pounds for 120 days, then taking the British pounds and investing them in euros for 90 days, and then converting it all back to U.S.dollars.Jason is most likely participating in ________.

• A)interest arbitrage
• B)speculation
• C)cryptocurrency
• D)options

---

Definitions:

Insurance Policy

A contract between an individual or entity and an insurance company, outlining coverage terms and conditions for specific risks.

Expected Value

The calculated average of all possible outcomes of a random variable, weighted by their probabilities.

Uncertain Income

Income that is not guaranteed and can fluctuate due to various factors such as business cycles, seasonal work, or freelancing.

Probability

The measure of the likelihood that an event will occur, expressed as a number between 0 and 1 where 1 indicates certainty.