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Management · Q806

International Finance and Treasury

Graduate and Post Graduate · Management · question 806

Q806

Which of the following statement is true? Statement I Exchange rate fluctuates to equate imports and exports. Statement II Exchange rates fluctuate to equate the quantity of foreign exchange demanded with the quantity supplied.

A.
Both statements are correct
B.
Both statements are incorrect
C.
Statement I is correct, but Statement II is incorrect
D.
Statement I is incorrect, but Statement II is correct
Answer

Answer: Option D

Solution

Answer: Option D
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