Solved: Who bears the currency fluctuation risk, Finance Basics

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Who bears the currency fluctuation risk

Question 1. In a U.S. news paper, there is a quotation "Norway (Krone) U.S. $ equiv. 0.1601". What does that mean? (answer briefly).

Question 2. If you are an American, and you agree to pay 100 Euro to another person in 6 months, who bears the currency fluctuation risk----you or the person you will pay? Why?

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Finance Basics: Who bears the currency fluctuation risk

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