Which of the Following Statements Is Correct

question 63

Multiple Choice

Which of the following statements is correct?

• A) The historical rate is the exchange rate on the date of the transaction and the closing rate is the exchange rate at the end of the reporting period.
• B) The historical rate is the exchange rate on the date of the transaction and the closing rate is the rate on which any hedge transactions mature.
• C) The spot rate is the rate on the date of the transaction and the relevant forward rate is the exchange rate used at the end of the reporting period.
• D) The average rate is the exchange rate used for all transactions on transaction date.

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Definitions:

Logrolling

The process of exchanging favors, especially in politics by reciprocal voting for each other's proposed legislation.

Social Engineering

Social engineering involves manipulating individuals into divulging confidential or personal information for fraudulent purposes.

Grandstanding

Engaging in behavior or making statements intended to attract positive attention and impress others.

Marginal Benefit

The added contentment or utility derived from utilizing or producing an extra item of a good or service.