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Business, 16.04.2020 03:33 saderussell2003

True or false?

The foreign exchange market serves two main functions. The first is to convert the currency of one country into the currency of another, and the second is to provide some insurance against foreign exchange risk. When two companies are trying to provide some insurance against foreign exchange risk, they can either exchange the currency immediately, which is called spot exchange, or at a specific date in the future, which is called a forward exchange rate.

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The foreign exchange market serves two main functions. The first is to co...

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