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Management · Q62

International Finance and Treasury

Graduate and Post Graduate · Management · question 62

Q62

Difference between buying and selling rates in an exchange rate or interest rate quotation is known as

A.
Strike price
B.
Spread
Answer
C.
Swap points
D.
Spot rate

Answer: Option B

Solution

Answer: Option B
Solution:
Difference between buying and selling rates in an exchange rate or interest rate quotation is known as Spread. The spread is the gap between the bid and the ask prices of a security or asset, like a stock, bond or commodity.