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    Exam 16: How Exchange Rates Are Determined
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    If an American-Made Drum Set Costs $2,500 and the Dollar
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If an American-Made Drum Set Costs $2,500 and the Dollar

Question 114

Question 114

Multiple Choice

If an American-made drum set costs $2,500 and the dollar depreciated, the foreign price of the drum set would tend to


A) remain the same.
B) increase.
C) decrease.
D) None of the above

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