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Simple English definitions for legal terms
foreign-exchange rate
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A quick definition of foreign-exchange rate:
Foreign-exchange rate: This is the rate at which you can exchange the money of one country for the money of another country. For example, if you want to exchange US dollars for euros, the foreign-exchange rate will tell you how many euros you can get for each dollar. The rate changes all the time depending on many factors, like the economy of each country and how much people want to buy or sell each currency.
A more thorough explanation:
Definition: A foreign-exchange rate is the rate at which one country's currency can be exchanged for another country's currency.
Example: If the foreign-exchange rate between the United States and Canada is 1 USD = 1.25 CAD, then for every US dollar, you can exchange it for 1.25 Canadian dollars.
Explanation: The foreign-exchange rate is the value of one currency in relation to another currency. In the example, the exchange rate shows how much one US dollar is worth in Canadian dollars. This rate can fluctuate based on various factors such as economic conditions, political events, and market demand.