Question
A spot purchase of a currency coupled with simultaneous
forward sale of the same currency is called:Solution
The spot purchase of a currency coupled with a simultaneous forward sale of the same currency is commonly known as a "currency swap." A currency swap involves two parties exchanging a specified amount of one currency for an equivalent amount of another currency at the spot exchange rate. At the same time, the parties also enter into a forward contract to reverse the initial exchange at a predetermined future date and exchange rate. This allows both parties to fulfill their immediate currency needs while simultaneously mitigating future exchange rate risk. Currency swaps are commonly used by multinational corporations, financial institutions, and investors to manage foreign exchange exposures, hedge currency risks, and facilitate international trade and investments.
In the given question, a word has been given and there are three ways in which the word has been used, in similar or different forms. You need to see w...
In the following questions, a word has been given and there are three ways in which the word has been used, in similar or different forms. You need to ...
Cater
(i) The umpteen four-wheelers and six-wheelers maintained by the institutions cater to the needs of students.
(ii) Corrianders Resta...
(i) obtain
(ii) lament
(iii) rejoice
(iv) flaunt
Directions: In the given question, a word has been mentioned and there are three ways in which the word has been used in either similar or different w...
Directions : These questions have a base word that is used in the statements given below. Choose the option in which the usage of the word is appropria...
MARK
Select one word for the following group of words.
Open refusal to obey orders
In each of the questions given below, two phrases in a sentence are highlighted which may or may not be correctly used. From the given choices...
(i) eager
(ii) avid
(iii) protect
(iv) rage