What Is the Name of the Exchange Rate System in Which

question 1

Multiple Choice

What is the name of the exchange rate system in which countries allow the value of their currency to be determined freely in the foreign exchange markets around the world without any government restrictions?

• A) European currency unit
• B) fixed currencies
• C) floating currencies
• D) dirty float currency

---

Definitions:

Seed-Stage Financing

A stage of financing in which small or modest amounts of capital are provided to entrepreneurs to prove a concept.

Venture Capitalist

An investor who provides capital to startup companies and small businesses with perceived long-term growth potential in exchange for an equity stake.

Market Analysis

The study of the dynamics between potential customers and products to understand the needs and preferences of the target market, competition, and overall viability of a business strategy.

Due Diligence

The comprehensive appraisal of a business or investment opportunity to assess its commercial potential and risks.