When a Currency Trades at a Premium in the Forward

question 34

Multiple Choice

When a currency trades at a premium in the forward market

• A)the exchange rate is more than one dollar .
• B)the exchange rate is less than one dollar.
• C)the forward rate is less than the spot rate.
• D)the forward rate is more than the spot rate.

---

Definitions:

Blood Pressure

The pressure of circulating blood against the walls of blood vessels, an important indicator of cardiovascular health.

First Draft

The initial version of a document or product that usually undergoes further revision.

Video Game Addiction

A problematic gaming behavior characterized by excessive or compulsive use of video games, leading to significant impairment or distress.

Leisure Time Activities

Activities engaged in for relaxation, amusement, or recreation outside of one's work or daily duties.