1.In foreign currency transactions, the _______ is the difference between the price at which a foreign exchange dealer will buy a foreign currency and the price at which it will sell a foreign currency.

A.buy/sell spread

B.swap spread

C.currency depreciation spread

D.bid/ask spread

E.PPP spread

2.What is the primary objective of requiring banks to maintain certain reserve requirements in a fractional reserve banking system?

A.To regulate short-term interest rates

B.To control exchange rates

C.To control the growth in money supply

D.To regulate long-term interest rates

E.To coordinate fiscal and monetary policy