The possibility of loss due to unexpected changes in currency values or interest rates is called:

Question

Quizplus · Accepted Answer

Financial risk refers to the possibility of loss due to fluctuations in currency exchange rates or interest rates. Economic risk refers to the possibility of loss due to changes in overall economic conditions, business risk refers to the possibility of loss due to poor management decisions or market competition, and political risk refers to the possibility of loss due to changes in government policies or instability in a host country.

The Possibility of Loss Due to Unexpected Changes in Currency