- CFA Exams
- CFA Level I Exam
- Topic 2. Economics
- Learning Module 7. Capital Flows and the FX Market
- Subject 1. The Foreign Exchange Market
CFA Practice Question
A direct quote is usually made in terms of the amount of ______.
B. local currency required to purchase one unit of foreign currency
C. local currency that the U.S. dollar purchases
A. foreign currency required to purchase one unit of local currency
B. local currency required to purchase one unit of foreign currency
C. local currency that the U.S. dollar purchases
Correct Answer: B
User Contributed Comments 1
| User | Comment |
|---|---|
| vatsal92 | Note: - Numerator = Domestic/Price, Denominator = Foreign/Base |