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Test your basic knowledge |
Foreign Trade And Exchange Vocab
Start Test
Study First
Subjects
:
business-skills
,
industries
Instructions:
Answer 25 questions in 15 minutes.
If you are not ready to take this test, you can
study here
.
Match each statement with the correct term.
Don't refresh. All questions and answers are randomly picked and ordered every time you load a test.
This is a study tool. The 3 wrong answers for each question are randomly chosen from answers to other questions. So, you might find at times the answers obvious, but you will see it re-enforces your understanding as you take the test each time.
1. A difference in the supply and demand will automatically be fixed in the market
short on currency
exchange rate
hard currency
floating exchange rate
2. Largest market in the world - 24 hour buying and selling currencies takes place - no central headquarters
supply and demand (demand)
supply and demand (supply)
FX Market
short on currency
3. Agreement where countries agree to trade together not illegal documents
Trade Bloc
when there is too much $
currency
Group of 7 (G7-G8)
4. Founded in 1944 helps poorest people in the poorest countries - provides resources - shares knowledge - builds capacity in developing countries - tries to organize people and resources of country so they can be involved in the global market place
exchange rate
supply and demand (supply)
long on currency
World Bank
5. Founded in 1944 - international organization of 183 countries - promotes money cooperation
hard currency
supply and demand (supply)
International Monetary Fund
FX Market
6. Developing countries money (mexico - madagascar - Egypt)
when there is too much $
soft currency
Bank for International Settlements
when there is not enough $
7. The rate at which one currency can be exchanged for another
when there is too much $
floating exchange rate
hard currency
exchange rate
8. A generally excepted form of money
soft currency
supply and demand (demand)
World Trade Organization
currency
9. Began 1961 has 15 countries - euro in all 15 countries exchange and services and the right to work in other countries
currency
supply and demand (supply)
European Union
Interdependence
10. Inflation - value of money declines - prices rise
when there is too much $
tariff
long on currency
fixed exchange rate
11. When the headquarters/parent of the company is effectively owned in 2 or more countries
Interdependence
International Monetary Fund
fixed exchange rate
a company becomes multinational when...
12. Established Januaray 1 - 1995 - only global international organization that deals with rules of trade between nations
European Union
Trade Bloc
World Trade Organization
fixed exchange rate
13. Rate the government sets and keeps as the official exchange rate
fixed exchange rate
currency
World Trade Organization
World Bank
14. Buy
call
put
exchange rate
supply and demand (demand)
15. Trader sells a lot of a currency
a company becomes multinational when...
short on currency
floating exchange rate
Bank for International Settlements
16. Represents how much the market can offer
soft currency
hard currency
supply and demand (demand)
call
17. Sell
put
Group of 7 (G7-G8)
Bank for International Settlements
call
18. Sluggish economic growth - rising unemployment
a company becomes multinational when...
hard currency
World Bank
when there is not enough $
19. Trader purchases a lot of currency
supply and demand (demand)
floating exchange rate
long on currency
International Monetary Fund
20. Started in 1975 - group of developed countries (US - Germany - France - Great Britan - Italy) Russia wants to join which would make it G8
fixed exchange rate
floating exchange rate
Trade Bloc
Group of 7 (G7-G8)
21. Developed countries money (america - england - japan)
World Trade Organization
put
World Bank
hard currency
22. Relations between 1 economy and others around the world
hard currency
Interdependence
put
exchange rate
23. A government tax on imports or exports - also called duty
call
tariff
World Trade Organization
short on currency
24. Refers to how much quantity of product/service is desired by the buyer
tariff
a company becomes multinational when...
supply and demand (demand)
supply and demand (supply)
25. In Switzerland - bank for central banks provides broad range of financial services - deals with value of currencies and Who is trading with whom
Bank for International Settlements
World Trade Organization
Group of 7 (G7-G8)
International Monetary Fund