Which of the following statements concerning currency exchange rates is most accurate?
A)Fluctuations in exchange rates among the world's currencies are of critical importance in global marketing.
B)Fluctuations in exchange rates among the world's currencies occur,but multinational companies are insulated from the affects because of direct investment.
C)Exchange rate fluctuations are relatively rare,but when they occur,their effects are minimal.
D)Exchange rate fluctuations are almost nonexistent due in great part to the stability of the euro.
E)Exchange rate fluctuations may affect the financial sector but rarely reach the consumer.

Question

Quizplus · Accepted Answer

Fluctuations in exchange rates among the world's currencies can have a significant impact on global marketing and international trade. They can affect the relative value of products and services, impact pricing strategies, and influence consumer behavior. This makes it important for multinational companies to monitor and manage their currency risks.

Which of the Following Statements Concerning Currency Exchange Rates Is