Question

The value of a foreign nation’s currency in terms of the home nation’s currency is the _____.

depreciation

balance of trade

exchange rate

foreign exchange market

Answer 1

exchange rate becuase it eould depend on what they could trade for currency and the average of when and how long they would trade

Answer 2

The value of a foreign nation's currency in terms of the home nation's currency is the exchange rate. The exchange rate has two components, the domestic currency, and the foreign currency. In a direct quotation, the price of a unit of the foreign currency is expressed in terms of the domestic currency. In an indirect quotation, the price of the unit of domestic currency is expressed in terms of the foreign currency.