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IDENTIFICATION AND MEASUREMENT OF EXCHANGE RISKS : In foreign trade, you may be either an exporter or an importer. Let us now examine what is the exchange risk to which an exporter or an importer is exposed.
The exchange risk arises because there is a time gap between the shipment of goods and the receipt and payment of the price thereof. And the exchange rate of the currency involved may undergo a change in the time period invoked if you are an exporter, you receive less rupees than you expected. If you are an importer, you might have to pay more than what you bargained for. Let us first see the position as an exporter.
Forward Quotations : Forward rates can be expressed in two ways. Commercial customers are usually quoted the .actual price which is referred to the outright rate. On the other han
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Distinction between Spot and Forward Rates : You have learnt what spot and forward rates are. Let us now explain the distinction between both rates. Spot rates are applicable on t
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please iam search for simple electronic ,fast result, instrument for test the ash in the flour could you guide me to the name of this instrument or model no. which should be hand h
OBJECTIVES After studying this unit, you should be able to: 1. Explain the meaning of exchange rate; 2. Describe various types of exchange risk; 3. Discuss the meas
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