Question : It refers to purchase of an asset, such that it gives direct control to the purchaser over the asset.
Option 1: Foreign direct investment
Option 2: Foreign portfolio investment
Option 3: Change in foreign exchange reserves
Option 4: None of the above
Correct Answer: Foreign direct investment
Solution : Foreign direct investment refers to purchase of an asset, such that it gives direct control to the purchaser over the asset. Hence, Option A is correct.
Question : It refers to purchase of an asset, such that it doesn’t gives direct control to the purchaser over the asset.
Question : It refers to the rate at which currency is exchanged for others.
Option 1: Foreign exchange
Option 2: Foreign exchange market
Option 3: Foreign exchange rate
Option 4: None of the above.
Question : It refers to all currencies other than domestic currency of a given country.
Question : It measures the number of units of one currency required to exchange with one unit of another.
Question : It is determined by forces of demand and supply.
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