1. A transaction that increases the availability or reduces demand for foreign exchange is a credit entry. A transaction that uses up foreign exchange is a debit entry.
Example: If Germany exports from India, which leads payments from Germany to India.
How should it be recorded as? Credit or Debit.
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Write My Essay For Me2. Our company needs to buy 1 million Euros in 90 days for a contract payment that is due. Which would be the best alternative for your company?
-Wait for 90 days and purchase the Euros in the spot market?
-Purchase a 90 day forward contract today for the Euros?
-Purchase a 90 day future contract today for the Euros?
-Purchase a 90 day option contract today for the Euros?
What are the factors you would consider in making that decision?
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