The Percentage Per Year by Which the Forward Rate on the Foreign

question 9

Multiple Choice

The percentage per year by which the forward rate on the foreign currency is below its spot rate is the:

• A)forward increase
• B)forward discount
• C)forward transaction
• D)forward premium

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Definitions:

Ligamentum Arteriosum

A small ligament that is the remnant of the ductus arteriosus formed within 3 weeks after birth.

Pulmonary Trunk

A major artery that conducts blood from the right ventricle of the heart to the lungs for oxygenation.

Aorta

The largest artery in the body, originating from the left ventricle of the heart, and supplying oxygenated blood to the circulatory system.

External Iliac Artery

An artery that supplies blood to the lower limbs, originating from the common iliac artery.