12th Class Economics Foreign Exchange Rate Question Bank MCQs - Foreign Exchange Rate

  • question_answer
    From the following statements given in Column I and Column II. Choose the correct pair of statements:
    Column I Column II
    (A) Investments by large MNCs in India 1. Depreciation of currency
    (B) Selling of securities by Falls in Indian Capital market 2. Appreciation of currency
    (C) More risk and uncertainty 3. Fixed exchange rate
    (D) Depends upon gold price 4. Flexible exchange rate

    A) A - 2, B - 1, C - 4, D - 3

    B) A - 1, B - 4, C - 3, D - 2

    C) A - 4, B - 2, C - 3, D - 1

    D) A - 1, B - 2, C - 3, D - 4

    Correct Answer: A

    Solution :

    [a] A - 2, B - 1, C - 4, D - 3


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