DQuestion 15 1 pts Which of the following is not a major actor in the foreign ex
ID: 1112688 • Letter: D
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DQuestion 15 1 pts Which of the following is not a major actor in the foreign exchange market? O commercial banks O non-bank financial institutions O corporations O central banks O tourists Question 16 1 pts The action of arbitrage is O the process of buying a currency dear and selling it cheap O the process of selling currency at different prices in different markets. O the process of buying a currency and holding onto it to take it off the market. O the process of buying a currency cheap and selling it dear. O the process of buying and selling currency at the same price. Question 17 1 pts Exxon Mobil want to pay e160,000 to a German supplier. They get an exchange rate quotation from its own commercial bank and instructs it to debit their dollar account and pay e160,000 to the supplier's German account. If the exchange rate quoted is $1.2 per euro, how much is debited to Exxon Mobil's account? $180,000 O $172,000 $150,000 $192,000 $160,000Explanation / Answer
15. Ans: tourists
16. Ans: the process of buying a currency cheap and selling it dear.
Explanation:
Arbitrage is the process of buying a security in one market at lower price and simultaneously selling it in another market at a higher price.
17. Ans: $192,000
Explanation:
Debit amount = 160,000 * 1.2 = $192,000
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