Question : When domestic currency gains value in relation to a foreign currency in the international market, it is termed as a situation of:

Option 1: Currency Depreciation
 

Option 2: Currency Appreciation
 

Option 3: Currency Devaluation

Option 4: None

Question : What is the meaning of exchange rate?

Option 1: Quantum of domestic currency needed to pay for foreign currency
 

Option 2: Quantum of foreign currency needed to pay for another foreign currency
 

Option 3: Rate at which foreign currency is bought and sold

Option 4: All of these

Question : What is the term used to describe a situation where a country's central bank actively buys or sells its own currency in the foreign exchange market to influence its value?

Option 1: Currency manipulation
   

Option 2: Currency pegging
    

Option 3: Currency arbitrage

Option 4: Currency intervention

Question : The Indian Government launched Incredible India campaign to promote tourism in India? How it will impact the exchange rate?

Option 1: Appreciation of domestic currency
 

Option 2: Outflow of foreign exchange
 

Option 3: Depreciation of domestic currency

Option 4: None

Question : The foreign exchange rate is the price of one currency in terms of another currency. It represents the value of a currency ________.

Option 1: in domestic markets
 

Option 2: in international trade
 

Option 3: in the stock market

Option 4: in the bond market