Question: 1 3 . How are foreign exchange rates affected by differences in the interest rates prevailing in various countries? 1 4 . In foreign exchange,

13. How are foreign exchange rates affected by differences in the interest rates prevailing in various countries?
14. In foreign exchange, what are spot and forward transactions? How do they differ?
15. Please provide your discussion about the risks associated with foreign exchange rate fluctuations focusing on economic, transaction, and translation risks, and hedging methods in response to those currency risks.

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