A forward contract can be used to lock in the ____ of a specified currency at a future point in time.

Question

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A forward contract can be used to lock in either the purchase price or sale price of a specified currency at a future point in time, depending on whether the contract is being used to buy or sell the currency. The contract effectively hedges against fluctuations in exchange rates, allowing the parties involved to mitigate risk and plan ahead with more certainty.

A Forward Contract Can Be Used to Lock in the ____