International companies use foreign exchange markets for many reasons. Which of the following is not one such reason? O A. To invest for long terms in money markets when they have spare cash. O B. To receive income from foreign investments. O C. To pay a foreign company for its products or services in its countrys currency. 0 D. To receive income from licensing agreements. A chicken burger costs $6.00 in USA. An identical burger costs Rs. 430.00 in India when the exchange rate is $1 =Rs. 70. Which of the following is correct? 0 A. USA offers a better deal. O B. The deal is the same in both countries. O C. India offers a better deal. O D. A trader can profit by buying the burger in USA and selling it in India at Rs. 420.00. #randomize Which of the following is not one of the versions of countertrade? O A. buyback. O B. counterpurchase. O C. switch swapping. O D. offset. What is not true about 1944 Bretton Woods Agreement? 0 A. all currencies were fixed to gold, but only the US. dollar was directly convertible to gold. 0 B. devaluations could be used for competitive purposes. 0 C. a fixed exchange rate system was established. 0 D. a country could not devalue its currency by more than 10% without IMF approval. Whether a currency is country X is overvalued or undervalued is often understood by using O A. amount of inward FDI that happens in country X. 0 B. the average price ofa McDonald's Big Mac in the USA. 0 C. number of MNCs in that adopt hedging in country X. 0 D. how quickly the interest rate is changing in country X. Various exchange rate regimes are followed today. About 23% of IMF members follow a system. Q A. adjustable pegged. O B. managed float. O C. dirty float. O D. pegged. The foreign exchange market: O A. never sleeps. O B. is open during normal business hours (9:00 AM to 5:00 PM, local time) in each of the primary locations from which it operates: Tokyo, London, and new York. O C. is open for only 12 hours in a day. O D. is open for most of the day, but closes for 3 hours each daybetween 2:00 AM and 5:00 AM Greenwich Mean Time