Companies most likely use the foreign-exchange market to ________.

Question

Quizplus · Accepted Answer

Companies use the foreign-exchange market to facilitate regular business transactions when they trade goods and services with foreign companies. This involves the exchange of currencies, which can be accomplished through the foreign-exchange market. Establishing fair currency trading policies, establishing a global market presence, and diversifying hedge funds may also be reasons for companies to use the foreign-exchange market, but they are not as directly related to regular business transactions as option B.

Companies Most Likely Use the Foreign-Exchange Market to ________