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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 government tax on imports or exports - also called duty
tariff
Bank for International Settlements
Interdependence
fixed exchange rate
2. Refers to how much quantity of product/service is desired by the buyer
tariff
supply and demand (supply)
long on currency
supply and demand (demand)
3. Trader purchases a lot of currency
long on currency
supply and demand (demand)
fixed exchange rate
FX Market
4. Established Januaray 1 - 1995 - only global international organization that deals with rules of trade between nations
Group of 7 (G7-G8)
fixed exchange rate
soft currency
World Trade Organization
5. Represents how much the market can offer
Interdependence
put
supply and demand (demand)
floating exchange rate
6. A generally excepted form of money
tariff
when there is not enough $
currency
Interdependence
7. Started in 1975 - group of developed countries (US - Germany - France - Great Britan - Italy) Russia wants to join which would make it G8
Group of 7 (G7-G8)
World Bank
a company becomes multinational when...
call
8. The rate at which one currency can be exchanged for another
supply and demand (demand)
exchange rate
tariff
hard currency
9. 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
long on currency
European Union
Group of 7 (G7-G8)
10. Developed countries money (america - england - japan)
European Union
hard currency
call
World Trade Organization
11. When the headquarters/parent of the company is effectively owned in 2 or more countries
exchange rate
a company becomes multinational when...
International Monetary Fund
soft currency
12. Largest market in the world - 24 hour buying and selling currencies takes place - no central headquarters
tariff
supply and demand (supply)
exchange rate
FX Market
13. Trader sells a lot of a currency
short on currency
soft currency
hard currency
tariff
14. Buy
currency
fixed exchange rate
long on currency
call
15. Began 1961 has 15 countries - euro in all 15 countries exchange and services and the right to work in other countries
put
hard currency
International Monetary Fund
European Union
16. Developing countries money (mexico - madagascar - Egypt)
soft currency
Group of 7 (G7-G8)
World Bank
when there is not enough $
17. Founded in 1944 - international organization of 183 countries - promotes money cooperation
tariff
International Monetary Fund
floating exchange rate
a company becomes multinational when...
18. A difference in the supply and demand will automatically be fixed in the market
floating exchange rate
International Monetary Fund
Bank for International Settlements
when there is not enough $
19. Sluggish economic growth - rising unemployment
call
when there is not enough $
exchange rate
World Trade Organization
20. Agreement where countries agree to trade together not illegal documents
hard currency
a company becomes multinational when...
Trade Bloc
Interdependence
21. Relations between 1 economy and others around the world
currency
a company becomes multinational when...
Interdependence
Trade Bloc
22. Sell
supply and demand (demand)
call
Trade Bloc
put
23. 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
Group of 7 (G7-G8)
Bank for International Settlements
tariff
World Bank
24. Rate the government sets and keeps as the official exchange rate
a company becomes multinational when...
currency
fixed exchange rate
long on currency
25. Inflation - value of money declines - prices rise
fixed exchange rate
Trade Bloc
World Bank
when there is too much $