【正文】 countries B. the current account balances of the two countriesC. the fiscal policies of the two countriesD. the trade balances of the two countries20. Before issuing a credit, it is important for the issuing bank ______.A. to make certain of the importer39。s revenue and expense transactions for the yearD. It is an expansion of the basic accounting equation of Assets=Liabilities Owner39。s interest rates are relatively low pared to those of other countries, then the exchange value of its currency will tend to ______ under a system of exchange rates.A. appreciate... floating B. depreciate...floating C. appreciate... fixed D. depreciate... fixed12. Which of the following is true of a pany39。4 058 short $6 630 000 at 答案： Bear Market Normal Market Bull MarketProbability Stock X_ 20% 18% 50%Stock Y 15% 20% 10%1. What are the expected returns for Stocks X and Y respectively? ______.A. 20% and 10% B. 18% and 12%C. 20% and 11% D. 18% and 5%2. Which of the following payment terms eliminates the exchange risk, assuming the exporter invoices in foreign currency? ______.A. Confirmed irrevocable documentary creditB. Open accountC. Documentary collection D/AD. None of the above3. ABC Co. Ltd. purchased a car for $ 12 000, making a down payment of $5 000 cash and signing a $7 000 note payable due in 60 days. Which of the following is not correct? ______.A. From the viewpoint of a shortterm creditor, this transaction makes the business less solventB. Total liabilities increased by $7 000C. Total assets increased by $12 000D. This transaction had no immediate effect on the owner39。5 941 short $9710 000 at C. Short 163。5m at and sell $5m at ? A. Short 163。s point of view, the order of preference is ______.A. (4) , (2) , (3) , (1) B. (4) , (1) , (3) , (2) C. (4) , (3) , (1) , (2) D. (2) , (4) , (1) , (3) 15. The main liability on a bank balance sheet is ______.A. deposits B. capital and reservesC. loans and overdrafts D. cash 16. ______ shows that net ine for a specified period of time and how it was calculated.A. The ine statement B. The capital statementC. The accounting statementD. The statement of financial condition 17. Why must the liabilities and assets of a bank be actively managed? ______.A. Because assets and liabilities are not evenly matched on the same time scale B. Because assets and liabilities are evenly matchedC. Because the inter bank market uses LIBORD. Because assets and liabilities can be underwritten 18. If the expected returns of two risky assets have a perfect negative correlation, then risk .A. is increased B. falls to zero C. is unaffected D. is reduced by onehalf 19. A possible disadvantage of freely fluctuating exchange rates with no official intervention is that .A. some nations would experience continual deficits B. the exchange rates may experience wide and frequent fluctuations C. nations would no longer be able to undertake domestic policies designed to achieve and maintain full employmentD. nations would need a larger supply of international reserves than otherwise 20. What are your GBP/USD position and the average rate if you sell 163。s draft D. documentary credit 11. Which of the following statements is not true of central banks? ______.A. They pay the government39。1. Which of the following is not a function of money? ______.A. To act as a medium of exchange B. To act as a unit of accountC. To act as a store of valueD. To provide a double coincidence of wants E. To act as a means of payment 2. The price in the foreign exchange market is called ______.A. the trade surplusB. the exchange rate C. the money price D. the currency rate 3. Market risk refers to the risk of______.A. financial prices fluctuations B. defaultC. fraudD. deferred payments 4. Which of the following is not among the generally accepted accounting principles? ______.A. Cash basis B. PrudenceC. Consistency D. Going concern E. Money measurement.5. What is a documentary letter of credit? ______.A. A conditional bank undertaking to pay an exporter on production of stipulated documentation B. A method of lending against documentary securityC. An international trade settlement system biased in favor of importersD. All of the above 6. Holding a group of assets reduces risk as long as the assets ______.A. are perfectly correlated B. are pletely independentC. do not have precisely the same pattern of returns D. have a correlation coeffic