If You Are a Currency Speculator,you Will Always Make Money

question 60

Multiple Choice

If you are a currency speculator,you will always make money by:

• A) buying currency with high interest rate.
• B) buying currency with low interest rate.
• C) accurately predicting whether exchange rate will change more or less than the interest rate differential.
• D) buying the currency with the highest interest rate differential.

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Definitions:

Selling Price

Selling Price is the amount a buyer pays to purchase an item or service from a seller.

Predetermined Overhead Rate

An estimated charge used to apply manufacturing overhead to individual products or job orders, calculated in advance of the period.

Machine-Hours

A measure of the total run time that a machine is utilized for production over a specific period, often used as a basis for allocating overhead costs.

Direct Labor-Hours

A measure of the total hours worked by employees who are directly involved in the manufacturing process or production of goods.