The possibility of experiencing a drop in revenue or an increase in costs in an international transaction due to a change in foreign exchange rates is called

Question

Quizplus · Accepted Answer

The possibility of experiencing a drop in revenue or an increase in costs in an international transaction due to a change in foreign exchange rates is known as foreign exchange risk. This is caused by currency fluctuations and can have an adverse impact on the financial performance of a company conducting international transactions.

The Possibility of Experiencing a Drop in Revenue or an Increase