The amount of the local currency equivalent to one unit of the foreign currency is the

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The direct rate expresses how much of the local currency is required to purchase one unit of the foreign currency. It is also known as the exchange rate or conversion rate. The indirect rate, on the other hand, expresses how much of the foreign currency is required to purchase one unit of the local currency. The bid rate represents the price at which the market is willing to buy a particular currency, while the offer rate represents the price at which the market is willing to sell that currency.

The Amount of the Local Currency Equivalent to One Unit