In Forward Transactions

question 29

Multiple Choice

In forward transactions,

• A)the exchange takes place at the same exchange rate as in the spot market.
• B)currencies are exchanged at a set date in the future.
• C)currencies may only be exchanged at rates set by governments well in advance.
• D)currency is bought and sold for delivery later that same day.

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Definitions:

Proximity

The physical or psychological closeness between people, which can influence attraction and interpersonal relationships.

Gestalt Laws

Principles of cognitive psychology that describe how humans naturally organize visual elements into groups or unified wholes.

Proximity

The physical or symbolic closeness of objects or individuals, influencing relationships and perception.

Similarity

The state or fact of being similar; resemblance or comparability.