If ABC Software simultaneously purchases and sells foreign ...

[cherise1989]

If ABC Software simultaneously purchases and sells foreign exchange for two different dates, the company is said to be involved in ________.
 
  A) increasing its foreign exchange rate risk
  B) conducting a currency swap
  C) entering an arbitrage situation
  D) buying and selling at the spot rate

Question 2

If ABC Software holds a currency option to purchase Swiss francs at SF 1.67/ in 30 days, at the end of which the exchange rate is SF1.70/, then ABC Software ________.
 
  A) is required to follow through on a currency exchange
  B) has succeeded in hedging against exchange rate risk
  C) would exercise its currency option
  D) would not exercise its currency option

[upturnedfurball]

Answer to Question 1

Awesome job my friend

Answer to Question 2

Here to give you a feedback, your answer was right Awesome

[cherise1989]

Wow, this really help

[ecabral0]

TYSM