Question 7 • FL-2102371-Personal Finance and Money Management
Read the scenario.Katerina is an international consultant who needs to make quick and easy payment transfers between different countries. She wants a payment method that avoids high currency exchange rates and reduces transfer costs.Why did Katerina choose to use digital currency for her international consulting payments?
Answer
I
It can go directly into bank accounts without extra steps.
I
Its value stays the same, making her accounting easy.
I
It is limited to certain countries, making it exclusive to those countries' services.
I
It offers fast, lower-cost international payments without currency conversion and bank fees.
Explanation
Digital currency can be sent across borders quickly and often with lower transaction costs than traditional international transfers. It can also avoid currency conversion and some bank fees, which matches Katerina’s need to reduce costs. Choice D describes these benefits; digital currency’s value does not necessarily stay the same, so B is not correct.
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