A Bid Is the Price in One Currency at Which

question 61

Essay

A bid is the price in one currency at which a dealer will buy another currency. An ask is the price at which a dealer will sell the other currency. Dealers bid (buy) at one price and ask (sell) at a slightly higher price, making their profit from the spread between the prices. List and explain three reasons/factors that could make the spread small.

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Definitions:

Job Rotation

A human resource strategy where employees rotate between different jobs or tasks to acquire multiple skills and competencies.

Functional Generalist

A professional with a broad range of skills and knowledge across multiple business functions, contrasting with specialists focused on a specific domain.

Management

The process of dealing with or controlling things or people, including planning, organizing, directing, and controlling resources to achieve organizational goals.

Succession Readiness Codes

A method or system used to identify and prepare potential candidates for future leadership or critical roles within an organization.