General Awareness · Banking Financial Awareness

Currencies and Exchange Rates

1,480 Questions

Knowledge of global currencies and exchange rates is vital for general awareness sections in banking and civil service exams. Topics include identifying the official currencies of various countries and understanding digital currency types. Use this collection to quickly memorize international currency symbols.

Country currency identificationDigital currency typesCurrency exchange tipsGlobal currency symbols

Currencies and Exchange Rates Questions

Multiple choice

Many times we read in newspapers that the Rupee is appreciating. When we consider the rupee-dollar exchange rate in the light of Purchasing Power Parity (PPP) we think that the exchange rate of the two currencies should

  1. be equal to the ratio of price levels in the two countries

  2. not be equal to the ratio of price levels in the two countries

  3. be decided on the basis of the value of the third major currency i.e. Euro or Yen

  4. necessarily be different for both the currencies as the economies of both of them are driven on two different sets of variables and it has no relation with PPP

  5. None of these
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Purchasing Power Parity (PPP) theory suggests that in the absence of trade barriers, the exchange rate between two currencies should reflect the ratio of their respective price levels. This ensures that a unit of currency has the same purchasing power in both countries.

Multiple choice

As per the agreement between India and the other country, the Indian Rupee can be easily swapped with

  1. Tak

  2. Rial

  3. Kyat

  4. Yen

  5. Rubbel
Reveal answer Fill a bubble to check yourself
E Correct answer
Explanation

The Indian Rupee had a currency swap agreement with the Russian Ruble, allowing for easier trade between the two countries without depending on US dollars. Tak is Bhutanese currency, Rial is Iranian currency, Kyat is Myanmar currency, and Yen is Japanese currency - none of these had the same swap arrangement with India.

Multiple choice

The most important thing in the minting of coins was

  1. weight

  2. size

  3. punch mark

  4. shape
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

In early numismatics, especially punch-marked coins, the punch mark was the defining feature used to verify the authenticity and authority of the currency.

Multiple choice commerce sources of business finance - 2 gdrs, adrs and idrs depository receipts international sources

____ is a foreign currency denominated derivative instrument in the form of depository receipt created outside India and issued to non-resident investors.

  1. IDR

  2. SDR

  3. GDR

  4. ADR
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

GDR is a foreign currency denominated derivative instrument in the form of depository receipt created outside India and issued to non-resident investors. GDR stands for Global Depository Receipt. It is a bank certificate issued in more than one country for shares in a foreign company.

Multiple choice maths tenths and hundredths more money decimal fractions in the units of currency, length, weight, capacity understanding tenth and hundredth part of a number

In British pounds, what is the positive difference between $200$ Canadian dollars and $200$ new Zealand dollars. Give your answer in pounds.

  1. $12$ pounds
  2. $30$ pounds
  3. $20$ pounds
  4. $4$ pounds
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

We have,

$200$ Canadian dollars and $200$ New Zealand dollars

Since,
$1\ Canadian\ dollars=0.61\ British\ Pound$

So,

$200\ Canadian\ dollars=122\ British\ Pound$

Since,
$1\ New\ Zealand\ dollars=0.51\ British\ Pound$

So,
$200\ Canadian\ dollars=102\ British\ Pound$

Therefore, the required difference
$=122-102=20\ pounds$

Hence, this is the answer.

Multiple choice maths tenths and hundredths more money decimal fractions in the units of currency, length, weight, capacity understanding tenth and hundredth part of a number

Convert $435$ into following currencies and find the greatest one.
(i) U.S. dollars  (ii) Euros  (iii) British pounds  (iv) Japanese yen

  1. (i)

  2. (ii)

  3. (iii)

  4. (iv)
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation
i)U.S. Dollar$=435\times 0.014=6.09$
ii)Euros$=4435\times 0.012=5.22$
iii)British Pounds$=435\times 0.011=4.785$
iv)Japanese Yen$=435\times 1.56=678.6$
Hence (iv) one is greatest.
Multiple choice geography trade trading and economic organisations india and her neighbours india and other countries

How many countries were members of the Eurozone when Euro coins and banknotes were first circulated on 1st January 2002?

  1. 12

  2. 15

  3. 18

  4. 20
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Austria, Belgium, Finland, France, Germany, Greece, Ireland, Italy, Luxembourg, Portugal, Spain and The Netherlands. Denmark, the UK and Sweden did not adopt the Euro as their currency.

Multiple choice commerce nature and scope of foreign trade characteristics, necessity, importance, advantages and disadvantages of foreign trade importance, scope and benefits of international trade trading and economic organisations

Dollar and pound sterling are the commonly preferred currencies for international trade.

  1. True

  2. False
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

U.S. Dollar Is the Global Currency. A global currency is one that is accepted for trade throughout the world. Some of the world's currencies are accepted for most international transactions. The most popular are the U.S. dollar, the euro, and the yen.