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When the Dollar Buys More Francs on the Spot Market

Question 23

Multiple Choice

When the dollar buys more francs on the spot market than the 30-day forward market, we say the dollars is selling at a ______________.Conversely, when the dollars buys less francs on the spot market than the 30-day forward market, we say the dollar is selling at a ______________.


A) premium; discount
B) handicap; bonus
C) discount; premium
D) subsidy; handicap
E) gain; loss

Correct Answer:

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