Foreign Exchange Is Traded

question 56

Multiple Choice

Foreign exchange is traded:

• A) weekly on the Internet in special auctions arranged by the Federal Reserve.
• B) continuously all over the world 24 hours a day and seven days a week.
• C) only in officially designated trading centers such as London or New York.
• D) It is traded in none of these ways or venues.

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Definitions:

Capital Balances

The amount of money that partners or shareholders have invested in a company, not withdrawn, and recorded in capital accounts.

Net Loss

The amount by which total expenses exceed total revenues for a business, indicating financial loss.

Salary

A fixed amount of money or compensation paid to an employee by an employer in return for work performed.

Share

Represents a unit of ownership interest in a corporation or financial asset.