In the interbank market for foreign exchange,the ____ refers to the price for which a bank is willing to sell a unit of foreign currency.
A) Offer rate
B) Option rate
C) Futures rate
D) Bid rate

Question

Quizplus · Accepted Answer

The offer rate in the interbank market for foreign exchange is the price at which a bank is willing to sell a unit of foreign currency. This is also referred to as the ask price or selling price. Banks will offer different rates depending on their own inventory of currencies and current market conditions.

In the Interbank Market for Foreign Exchange,the ____ Refers to the Price