Commerce Short Question | Gkseries

Question

The floating rate system is characterised by :

A the market forces that determine the exchange rate between two currencies.
B the central banking authorities of the two countries mutually agree upon the rate.
C help realigning the par value of major currencies.
D the rate of exchange mutually agreed upon between IMF and its member nations.

Answer & Explanation

Answer:the market forces that determine the exchange rate between two currencies.