An exchange rate can be described as:
A)the price of a foreign currency as determined by the World Bank.
B)the price of one country's currency in terms of another country's currency.
C)the dollar value of imports and exports undertaken in the world economy during a year.
D)the price of foreign currency as established by the relative amount of tourism.
E)the dollar value of U.S.international trade.

Question

Quizplus · Accepted Answer

An exchange rate is the price of one country's currency in terms of another country's currency. It tells you how much of one currency is needed to buy one unit of another currency. This is commonly seen in the exchange of currencies for international trade or travel.

An Exchange Rate Can Be Described As