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      Question

      Which of the following statements is justifiable for

      'floating exchange rate"?
      A It reduces the foreign exchange. Correct Answer Incorrect Answer
      B It records international transactions of assets. Correct Answer Incorrect Answer
      C It is determined by the market forces of demand and supply. Correct Answer Incorrect Answer
      D It maintains an equilibrium between export and import. Correct Answer Incorrect Answer

      Solution

      The correct answer is C

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