1) _________ in the currency markets is (are) considered desirable by international traders since it results in uniform exchange rates globally.

Select one:

a. Arbitrage

b. Hedging

c. Insurance contracts

d. Currency controls by governments

2)The most common participants in the spot currency market are the ____________.

Select one:

a. commercial banks

b. multinational corporations

c. central banks

3) In the spot market the currency rate quoted by a New York City based trader is known as the ____. rate.

Select one:

a. equilibrium

b. spot

c. forward

d. future

4)

Most currency traders when contacted will provide a _____ quote giving their ____ and their _____ rates.

Select one:

a. simple, future, option

b. combined, bid, ask

c. combined, spot, forward