The forward rate may be defined as
A) The price a foreign currency can be purchased or sold today.
B) The price today at which a foreign currency can be purchased or sold in the future.
C) The forecasted future value of a foreign currency.
D) The U.S. dollar value of a foreign currency.
E) The Euro value of a foreign currency.

Question

Quizplus · Accepted Answer

The forward rate is the agreed-upon price today for a transaction that will occur at a future date, allowing for the purchase or sale of a foreign currency in the future.

The Forward Rate May Be Defined as