An Agreement Made Today That Sets Both the Exchange Rate

question 13

Multiple Choice

An agreement made today that sets both the exchange rate and the quantity of currency that will be traded at some point in the future is called a ________ trade.

• A)spot
• B)floating
• C)swap
• D)triangle
• E)forward

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Definitions:

General Ledger

A comprehensive set of accounts that records all transactions of a business, providing the foundation for financial statements.

General Ledger

The main accounting record of a company which uses double-entry bookkeeping, consisting of all balance sheet and income statement accounts.

Sales Journal

A specific type of journal used to record the sales of goods or services on credit.

General Journal

An accounting ledger where all types of transactions are initially recorded before being transferred to specific accounts.