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marin [14]
3 years ago
9

Unanticipated inflation benefits debtors at the expense of creditors. a. True b. False

Business
1 answer:
KengaRu [80]3 years ago
8 0
<span>Ans : Unanticipated inflation benefits debtors at the expense of creditors. The statement is True. When the inflation is unexpectedly high, the Real Interest Rate is lower than anticipated thats why it hurts lenders but benefits borrowers.</span>
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Fruits in their season cost less than when they are not in season. This is an example of a situational influence on value. Which
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d. Time of the year

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3 years ago
An agreement to exchange dollar bank deposits for euro bank deposits in one month is a:_________
koban [17]

An agreement to exchange dollar bank deposits for euro bank deposits in one month is a <u>forward transaction.</u>

<h3>What is a forward contract?</h3>

A tailored agreement between two parties to purchase or sell an item at a predetermined price at a later date is known as a forward contract. Although its non-standardized nature makes it particularly suitable for hedging, a forward contract can be utilized for speculating or hedging.

A forward contract can be tailored to a commodity, amount, and delivery date, unlike typical futures contracts. Grain, precious metals, natural gas, oil, and even chicken are examples of traded commodities. Settlement of a forward contract may take place in cash or by delivery.

Forward contracts are categorized as over-the-counter (OTC) instruments because they are not traded on a centralized exchange. While the OTC nature of these products makes it simpler to adjust terms, the absence of a centralized clearinghouse also increases the chance of default.

Thus, it is a forward transaction that is used to exchange dollar bank deposits for euro bank deposits in one month.

For more information on <u>Forward Transaction</u>, refer to the given link:

brainly.com/question/28238316

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