Which Is Not a Function of the Foreign Exchange Market

question 4

Multiple Choice

Which is not a function of the foreign exchange market?

• A)to transfer funds from one nation to another
• B)to finance trade
• C)to diversify risks
• D)to provide the facilities for hedging

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Definitions:

Gasoline Fraction

A specific range of hydrocarbons derived from petroleum refining used primarily as fuel in internal combustion engines.

Crude Oil Refinement

The industrial process of converting crude oil into useful petroleum products such as gasoline, diesel, and jet fuels.

Kerosene

A flammable hydrocarbon liquid commonly used as a fuel in heating, jet engines, and lighting, extracted from petroleum.

Jet Fuel

A type of aviation fuel designed for use in aircraft powered by gas-turbine engines.