πŸ“’ Too many exams? Don’t know which one suits you best? Book Your Free Expert πŸ‘‰ call Now!


    Question

    The risk of loss due to adverse changes in exchange

    rates is known as:
    A Credit Risk Correct Answer Incorrect Answer
    B Transaction Risk Correct Answer Incorrect Answer
    C Operational Risk Correct Answer Incorrect Answer
    D Liquidity Risk Correct Answer Incorrect Answer

    Solution

    Transaction risk is the exchange rate risk associated with the time delay between entering into a contract and settling it. It affects cash flows.

    Practice Next
    ask-question