Multiple Choice
Suppose an Australian importer buys manufacturing equipment from France worth 50 million Euros at an exchange rate of AUD/EUR of 0.9622. Suppose that the exchange rate depreciates a week later to AUD/EUR = 0.9582. Then the AUD value of the import bill has:
A) remained unchanged.
B) risen.
C) fallen.
D) Without more information we cannot determine.
Correct Answer:
Verified
Correct Answer:
Verified
Q13: Globalisation is widely recognised as counteracting the
Q14: Discuss the aims and methods of central
Q15: Which of the following best describes the
Q16: If the spot exchange rate is 0.5650
Q17: The Euro became legal tender in the
Q19: An exchange rate defined as the price
Q20: The 'law of one price' says that
Q21: Arbitrage is possible when distinct but essentially
Q22: Reuters is a company that supplies specialised
Q23: A major factor contributing to economic globalisation