Foreign exchange markets are electronic communication systems that（56) major financial cen

A．An excess supply of that currency exists in the foreign exchange market

B．An excess demand for that currency exists in the foreign exchange market

C．The supply of foreign exchange shifts outward to the right

D．The supply of foreign exchange shifts backward to the left

Foreign exchange is convertible currency but foreign to the holder.

A．Right

B．Wrong

C．Doesn't say

What is the important function of" the foreign exchange market mentioned in the passage？

A．Its main function is to reduce the risk of fluctuating exchange rates or a change in the parity of currencies.

B．The foreign exchange market can protect the traders against loss through exchange rate fluctuations.

C．The foreign exchange market is the mechanism through which foreign currencies are traded.

D．The important function of the foreign exchange market is to uniform. the currency being traded and circulate the knowledge of price changes.

A．The People's Bank of China.

B．China Foreign Exchange Trading Center.

C．Inter-bank Foreign Exchange Market.

D．The State Administration of Foreign Exchange.

A.success

B.sustainability

C.viability

D.profitability

(8)

A．Banks make money in foreign exchange business because of profit margin.

B．Banks make money from the price spread in the foreign exchange market.

C．Banks make money in foreign exchange business on profit as well as on volume.

D．Banks make money in foreign exchange business because of the great volume.

A.calculated

B.malicious

C.deliberate

D.on purpose

(3)

A．Forward transactions is not of typical foreign exchange transactions.

B．Typical foreign exchange transactions occur in the spot or cash market.

C．Forward transactions don't occur in the spot or cash market.

D．Typical foreign exchange transactions occur only in the spot market.

The price in the foreign exchange market is called ______.

A．the trade surplus

B．the exchange rate

C．the money price

D．the currency rate

The term foreign exchange is best defined by the following statement: it is ______.

A．the rate of exchange between two currencies

B．synonymous with currency exchange

C．the place in which foreign currencies are exchanged

D．an instrument such as paper currency, note, and check used to make payments between countries