Match the Foreign Exchange Concepts in List-I with their appropriate descriptions in List-II: List-I (Concepts) (A) Foreign Exchange Swaps (B) Forward Transaction (C) Foreign Exchange Futures (D) Hedging List-II (Meaning) (I) A standardized forward contract for specific currency amounts and calendar dates traded on an organized exchange. (II) The avoidance of foreign exchange risk or covering of an open position. (III) A spot sale of a currency combined with a forward repurchase of the same currency as part of a single transaction. (IV) An agreement today to buy or sell a specified amount of foreign currency at a specified future date at a rate agreed upon today.

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Economics · International Finance

Verified Solution4 OptionsUpdated: October 2026👁️1 View

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(A)-(III), (B)-(IV), (C)-(I), (D)-(II)

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Answer 1

(A)-(III), (B)-(IV), (C)-(I), (D)-(II)

Answer 2

(A)-(I), (B)-(II), (C)-(IV), (D)-(III)

Answer 3

(A)-(I), (B)-(III), (C)-(II), (D)-(IV)

Answer 4

(A)-(I), (B)-(II), (C)-(III), (D)-(IV)

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