Which of the following types of risks incorporates fluctuating exchange rates?

A. economic risks
B. political risks
C. financial risks
D. social risks

Question

24-07-2024
Business

Answered

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Which of the following types of risks incorporates fluctuating exchange rates?

A. economic risks
B. political risks
C. financial risks
D. social risks

Sagot :

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Final answer:

Volatile exchange rates pose exchange rate risk for international business.

Explanation:

Volatile exchange rates introduce exchange rate risk for businesses involved in international trade and investments. This risk arises due to the potential loss caused by fluctuations in currency values. For example, sudden changes in exchange rates can impact the profitability of importing, exporting, and overall international business decisions.

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Final answer:

Explanation:

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