Question
a.
By adding a given number of weeks or months to the spot transaction's settlement date
b.
By subtracting the number of days from the transaction date
c.
By referencing the currency exchange rate on the transaction date
d.
By aligning it with the transaction date of spot currencies between the same currencies
Posted under IC 89 Management Accounting
Interact with the Community - Share Your Thoughts
Uncertain About the Answer? Seek Clarification Here.
Understand the Explanation? Include it Here.
Q. How is the settlement date determined in a Forward Transaction of currencies?
Similar Questions
Explore Relevant Multiple Choice Questions (MCQs)
Q. What happens if the value date or settlement date of a Forward Transaction falls on a holiday?
View solution
Q. How do banks handle maturity periods in non-whole number months for Forward Transactions?
View solution
Q. What is a Swap Transaction in the context of the Foreign Exchange Market?
View solution
Q. What is the hybrid nature of a Swap Transaction?
View solution
Q. What are the two types of Swap Transactions?
i. Spot-Forward transaction
ii. Forward-Forward transaction
iii. Spot-Swap transaction
iv. Swap-Swap transaction
View solution
Q. What percentage of transactions in the foreign exchange market are Swap Transactions according to the recent study?
View solution
Q. What is an Exchange Rate Quotation in the context of the Foreign Exchange Market?
View solution
Q. What is a Direct Quotation in the context of Exchange Rate?
View solution
Q. What is the main characteristic of a Direct Quote?
View solution
Q. What is an Indirect Quotation in the context of Exchange Rate?
View solution
Q. How are Direct and Indirect Quotes related to each other?
View solution
Q. What is the Bid in the context of Foreign Exchange Quotes?
View solution
Q. What is the Offer (Ask) in the context of Foreign Exchange Quotes?
View solution
Q. What is the Spread in the context of Foreign Exchange Quotes?
View solution
Q. Why is the offer always higher than the bid in Foreign Exchange?
View solution
Q. How is Spread% calculated in Foreign Exchange?
View solution
Q. What is the concept of Cross Rates in Foreign Exchange?
View solution
Q. When is an exchange rate considered a Cross Rate?
View solution
Q. What is the purpose of Exchange Rate Forecasting for business entities?
View solution
Q. Which technique of Exchange Rate Forecasting uses historical data and Time series Models?
View solution
Recommended Subjects
Are you eager to expand your knowledge beyond IC 89 Management Accounting? We've handpicked a range of related categories that you might find intriguing.
Click on the categories below to discover a wealth of MCQs and enrich your understanding of various subjects. Happy exploring!
