Foreign Exchange Risk Is That the Value of Assets and Liabilities

question 86

True/False

Foreign exchange risk is that the value of assets and liabilities may change because of changes in the foreign exchange rate between two countries.

---

Definitions:

Life Threatening Disease

A severe health condition that has a high probability of causing death.

Supply Curve

A graphical representation showing the relationship between the price of a good and the quantity of the good supplied.

Opportunity Cost

The relinquishment of possible gains that could have been obtained from alternatives when one is selected.

Production Increases

This term describes a situation where the total output of goods and services in an economy grows over a specified period.