As a Foreign Exchange Hedging Tool, Options Have All of the Following

question 10

Multiple Choice

As a foreign exchange hedging tool, options have all of the following characteristics EXCEPT

• A) the right to buy or sell an amount of foreign currency.
• B) specifies price.
• C) specifies time period.
• D) represents an obligation to buy or sell.

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Definitions:

Pool of Applicants

The group of candidates from which job positions can be filled.

Labor Force Participation

The percentage of the working-age population that is either employed or actively seeking employment.

Adult Population

The segment of the population that comprises individuals who are considered legally adults, typically used in statistics and economic studies.

Unemployment Rate

The share of workers in the labor force who are unemployed and actively working towards finding a job.