The Size of the Spread That a Dealer Will Quote

question 25

Multiple Choice

The size of the spread that a dealer will quote for a foreign exchange transaction will vary depending on

• A)the degree of market volatility at the time.
• B)the degree of risk associated with a particular currency.
• C)the size of the market for the currency being traded.
• D)All of above.

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Definitions:

Accounts Receivable

Money owed to a company by its customers for goods or services delivered on credit.

Revenue

The total amount of income generated by the sale of goods or services related to a company's primary operations.

Permanent Accounts

Accounts on the balance sheet that carry over their ending balances into the next financial period, such as assets, liabilities, and equity accounts.