BANKING GENERAL KNOWLEDGE
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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USD
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JPY
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Euro
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CAD
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Detailed explanation-1: -In this case, EUR is the base currency and USD is the quote currency (counter currency).
Detailed explanation-2: -Key Takeaways While most currency pairs that quote the dollar list the dollar as the numerator or base currency, EUR/USD has the euro first and the reason is mostly due to convention. The euro was introduced as an accounting currency in 1999 and is the second most active currency behind the U.S. dollar.
Detailed explanation-3: -The trust and confidence that the world has in the ability of the United States to pay its debts keep the dollar as the most redeemable currency for facilitating world commerce.
Detailed explanation-4: -The quote currency quoted expresses the number of units of that currency that are equal to one unit of the base currency. For example, if the EUR-USD is quoted at 1.25, EUR is the base currency, and USD is the quote currency. It means, in this example, that one EUR is worth 1.25 USD.
Detailed explanation-5: -What Is a Quote Currency? In foreign exchange (forex), the quote currency, commonly known as the counter currency, is the second currency in both a direct and indirect currency pair and is used to determine the value of the base currency.