Questions with Answers on Foreign Exchange

What is Exchange Rate and how it is Determined?
What are Spot and Forward Exchange Rates?
Explain the Fixed Exchange Rate System.
Explain in brief Gold Standard, Pegged Exchange Rate and Flexible Exchange Rates.

What are the factors affecting Exchange Risk Management?
What are the different Types of Risk?
Differentiate between Trade and Exchange Risk.
Explain the Exchange Rate and Currency Risk.
What are the Arbitrage and Speculation in foreign exchange?
Explain the Purchasing Power Parity Theory and Interest Rate Parity Theory.