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Commerce · Q502

Business and Commerce

Graduate and Post Graduate · Commerce · question 502

Q502

What is the popular term used for that type of option in Foreign Exchange Market which provides the holder the right to purchase or sell foreign currency at the most favorable exchange rate realized over the life of the option?

A.
Forward reversing option
B.
Preference option
C.
Look back option
Answer
D.
Basket option

Answer: Option C

Solution

Answer: Option C
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