Q5
The term Euro currency Market refers to
A.
The countries which have adopted Euro as their currency
B.
The market in which Euro is exchanged for other currencies
C.
The market where the borrowing and lending of currencies take place outside the country of issue
AnswerD.
The international foreign exchange market
Answer: Option C
Solution
Answer: Option C
Solution:
The term Euro currency Market refers to the market where the borrowing and lending of currencies take place outside the country of issue. The eurocurrency market is the money market in which currency held in banks outside of the country where it is legal tender is borrowed and lent by banks.