Which of the Following Is NOT Currently a Cause of Fluctuation

question 60

Multiple Choice

Which of the following is NOT currently a cause of fluctuation in foreign exchange rates?

• A) Inflation rates.
• B) The pegging of a currency to the American (U.S.) dollar.
• C) Interest rates.
• D) Trade surpluses and deficits.

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Definitions:

Common Shares

Shares of stock, which signify part ownership in a corporation, granting the holder the right to vote on corporate matters and to receive a portion of the company’s earnings via dividends.

Revenues

The cumulative income arising from transactions involving goods or services integral to a firm's primary business.

Liabilities

Financial obligations or debts owed by a company to creditors, representing claims against a company's assets.

Cash

Money in the form of coins or banknotes, used for transactions, and considered the most liquid asset.