A Currency System Where Small Adjustments to Value of the Currency

question 1

Multiple Choice

A currency system where small adjustments to value of the currency are made at preset points or in response to specific macroeconomic indicators is a:

• A)currency board system.
• B)crawling peg system.
• C)managed float system.
• D)independent float system.

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Definitions:

Market Price

The present market rate for trading an asset or service.

Subscription Price

The fixed price at which existing shareholders can purchase additional shares of stock before it is offered to the public.

Common Share

A type of equity ownership in a corporation, representing a claim on part of the company’s profits and assets.