Matching
Match the following to the items below:
Premises:
The relationship between two foreign currencies expressed in terms of a third currency.
A means of making foreign stock issues available to American investors.
The interest rate for large deposits in the Eurodollar market.
A rate that reflects the future value of a currency based on expectations.
An agency of the U.S. government which facilitates the financing of U.S. exports through one of a number of programs.
A valuable source of short-term loans in U.S. dollars for many multinational firms and their foreign affiliates.
The rate at which the currency is traded for immediate delivers. It is the existing cash price.
A private association of approximately 60 U.S. firms which provides assurance to exporters that should the foreign customers default on payments, the insurance firms will cover the loss.
Long-term debt issues sold simultaneously in several different national capital markets, but denominated in a currency different from that of the nation in which they are issued.
An entity owned by members of the World Bank which buys equity shares of multinational businesses and/or provides long-term loans up to a total of 25% of total capital.
A federal government agency which sells insurance to qualified firms against political risk.
The relationship between the value of two or more currencies.
Responses:
Eurodollars
Eurobonds
London Interbank Offered Rate (LIBOR)
cross rate
Export-Import Bank (Eximbank)
International Finance Corporation (IFC)
spot rate
Overseas Private Investment Corporation (OPIC)
exchange rate
American Depository Receipts (ADRs)
Foreign Credit Insurance Association (FCIA)
forward rate
Correct Answer:
Premises:
Responses:
The relationship between two foreign currencies expressed in terms of a third currency.
A means of making foreign stock issues available to American investors.
The interest rate for large deposits in the Eurodollar market.
A rate that reflects the future value of a currency based on expectations.
An agency of the U.S. government which facilitates the financing of U.S. exports through one of a number of programs.
A valuable source of short-term loans in U.S. dollars for many multinational firms and their foreign affiliates.
The rate at which the currency is traded for immediate delivers. It is the existing cash price.
A private association of approximately 60 U.S. firms which provides assurance to exporters that should the foreign customers default on payments, the insurance firms will cover the loss.
Long-term debt issues sold simultaneously in several different national capital markets, but denominated in a currency different from that of the nation in which they are issued.
An entity owned by members of the World Bank which buys equity shares of multinational businesses and/or provides long-term loans up to a total of 25% of total capital.
A federal government agency which sells insurance to qualified firms against political risk.
The relationship between the value of two or more currencies.
Premises:
The relationship between two foreign currencies expressed in terms of a third currency.
A means of making foreign stock issues available to American investors.
The interest rate for large deposits in the Eurodollar market.
A rate that reflects the future value of a currency based on expectations.
An agency of the U.S. government which facilitates the financing of U.S. exports through one of a number of programs.
A valuable source of short-term loans in U.S. dollars for many multinational firms and their foreign affiliates.
The rate at which the currency is traded for immediate delivers. It is the existing cash price.
A private association of approximately 60 U.S. firms which provides assurance to exporters that should the foreign customers default on payments, the insurance firms will cover the loss.
Long-term debt issues sold simultaneously in several different national capital markets, but denominated in a currency different from that of the nation in which they are issued.
An entity owned by members of the World Bank which buys equity shares of multinational businesses and/or provides long-term loans up to a total of 25% of total capital.
A federal government agency which sells insurance to qualified firms against political risk.
The relationship between the value of two or more currencies.
Responses:
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