1. Which of the following is not a function of money? ______.' G& s' ?* V$ { f; O! A
A. To act as a medium of exchange N. f: S; G c, R! K; x
B. To act as a unit of account
/ P4 U* L; [- p( ZC. To act as a store of value% ^% r: `5 O, K2 s, c
D. To provide a double coincidence of wants
' |- m+ E2 _7 h( G* v8 k: b7 nE. To act as a means of payment
$ Q4 N; S) t8 u( W* E/ |2. The price in the foreign exchange market is called ______.2 G( z# w) U. X' l
A. the trade surplus
7 S8 W* V. S+ @6 MB. the exchange rate
; g! P) I+ G: ?9 vC. the money price
- M" q& `4 H! vD. the currency rate
_" W$ y9 `! k5 I: g! k4 L3. Market risk refers to the risk of______.
2 |. F1 R6 B9 k5 H7 W1 _A. financial prices fluctuations ' }, \% i5 n4 u$ R
B. default
, V6 {" j: g/ O/ |C. fraud
5 K6 W8 E2 B, V8 C' l3 bD. deferred payments + k$ C, f: k' D
4. Which of the following is not among the generally accepted accounting principles? ______.! o) ?3 T6 S% E5 M6 o# r1 }/ j
A. Cash basis m- _1 n8 Q7 o7 f5 o. X' }
B. Prudence8 x6 p( @ q& m
C. Consistency
% s4 E) b/ F f$ uD. Going concern
( E9 n3 L& \. X* L8 P: IE. Money measurement.
, u: ]& Z3 ` y0 I5. What is a documentary letter of credit? ______.. Z' e) \7 P$ M' d" l6 @0 J
A. A conditional bank undertaking to pay an exporter on production of stipulated documentation
; O# p# F. S* k5 q$ c' _B. A method of lending against documentary security* M7 @. I: W' c6 h/ C( N6 T
C. An international trade settlement system biased in favour of importers7 t% y8 x/ z/ q( ?1 p5 c
D. All of the above |