A Random Walk Model Can More Accurately Predict Exchange Rates

question 26

Multiple Choice

A random walk model can more accurately predict exchange rates as compared to a sophisticated forecast

• A) always.
• B) for forecasts up to a year away.
• C) for forecasts longer than a year away.
• D) never.
• E) because of the predictability of exchange rates.

---

Definitions:

Storage of Data

The process of saving data in a secure location to ensure it is available for future access, analysis, and backup.

Locked Cabinets

Secure storage units used to prevent unauthorized access to contents, often important for safety and confidentiality.

Password Protected

Secured with a combination of characters known only to the user and required for access.

Ethical

Relating to moral principles or the branch of knowledge dealing with these, especially as they apply to professional conduct.