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25, A s the term used to describe a foreign currency agreement between two parties to hange a given amount of one currency for another,

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25, A s the term used to describe a foreign currency agreement between two parties to hange a given amount of one currency for another, and after a period of time, to give back the exc original amounts. a) matched flow b) currency swap c) back-to-back loan d) credit swap e) None of the above 26. A foreign subsidiary' A) local B) integrated C) notational dollar D) functional s- currency is the currency used in the firm's day-to-day operations. 27. If an imbalance results from the accounting method used for translation, the imbalance is taken either to A) the bank; the post office B) depreciation; the market for foreign exchange swaps C) current income; equity reserves D) current liabilities; equity reserves 28. If the goal were to decrease the value of a country's currency -to fight an appreciation of the domestic currency in exchange for foreign currency- the central bank would: A) buy its own currency in exchange for foreign currency B) follow a restrictive monetary policy C) drive real rates of interest up D) sell its own currency in exchange for foreign currency E) none of the above. C) d) e) ,on 4

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