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    Exam 10: Exchange Rates and Exchange Rate Systems
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    An American Firm That Buys Foreign Exchange Because Its Managers
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An American Firm That Buys Foreign Exchange Because Its Managers

Question 12

Question 12

Multiple Choice

An American firm that buys foreign exchange because its managers expect the dollar to depreciate is


A) increasing the supply of foreign exchange.
B) increasing the demand for foreign exchange.
C) speculating.
D) Both A and B.
E) Both B and C.

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