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) Purchase of Metro rail engine from Korea 1. Supply of foreign exchange
    (B) McDonald's opening new outlets in India 2. Demand for foreign exchange
    (C) RBI sells foreign exchange 3. Related to protection
    (D) Hedging function 4. Brings down foreign exchange rate

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

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

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

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

    Correct Answer: A

    Solution :

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


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