The Risks That Arise from Volatile Changes in Exchange Rates

question 100

Multiple Choice

The risks that arise from volatile changes in exchange rates are commonly referred to as:

• A)interest rate risks.
• B)basis risks.
• C)operational risks.
• D)foreign exchange risks.

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Definitions:

Rents

in economics, refers to the income generated from leasing properties or land; can also refer to excess profits not attributed to investment or innovation.

Dividends

Dividends are a portion of a company's earnings distributed to shareholders, representing a share of the profits.

Trailing Spouses

Partners who follow their spouse to a new location due to the spouse's job relocation, often facing challenges in their own careers.

Sexual Harassment

Unwelcome sexual advances, requests for sexual favors, and other verbal or physical harassment of a sexual nature, especially in the workplace or educational settings.