When the implied exchange rate between two currencies is determined through the use of a third currency, the rate is called a(n) _____ rate.

Name: When the implied exchange rate between two currencies is determined through the use of a third currency, the rate is called a(n) _____ rate.
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Question

Quizplus · Accepted Answer

The correct term is "cross rate." This is the exchange rate between two currencies computed by using the exchange rates of both currencies with a third currency, typically the US dollar.

When the Implied Exchange Rate Between Two Currencies Is Determined