the economics of money, banking, and financial markets

(Sean Pound) #1
568 #
© 2014 Pearson Canada Inc.#



  1. When the exchange rate for the Mexican peso changes from 10 pesos to the Canadian dollar
    to 9 pesos to the Canadian dollar, then the Mexican peso has ____ and the Canadian dollar
    has ____.
    A) appreciated; appreciated
    B) depreciated; appreciated
    C) appreciated; depreciated
    D) depreciated; depreciated
    Answer: C
    Diff: 1 Type: MC Page Ref: 471 - 472
    Skill: Applied
    Objective List: 19.1 Summarize the basic function performed by the foreign exchange market




  2. On January 25, 2009, one Canadian dollar traded on the foreign exchange market for about
    0.75 euros. Therefore, one euro would have purchased about ____ Canadian dollars.
    A) 0.75
    B) 1.00
    C) 1.33
    D) 1.75
    Answer: C
    Diff: 1 Type: MC Page Ref: 471 - 472
    Skill: Applied
    Objective List: 19.1 Summarize the basic function performed by the foreign exchange market




  3. On January 25, 2009, one Canadian dollar traded on the foreign exchange market for about
    49.0 Indian rupees. Thus, one Indian rupee would have purchased about ____ Canadian
    dollars.
    A) 0.02
    B) 1.20
    C) 7.00
    D) 49.0
    Answer: A
    Diff: 1 Type: MC Page Ref: 471 - 472
    Skill: Applied
    Objective List: 19.1 Summarize the basic function performed by the foreign exchange market




  4. On January 25, 2009, one Canadian dollar traded on the foreign exchange market for about
    1.15 Swiss francs. Therefore, one Swiss franc would have purchased about ____ Canadian
    dollars.
    A) 0.30
    B) 0.87
    C) 1.15
    D) 3.10
    Answer: B
    Diff: 1 Type: MC Page Ref: 471 - 472
    Skill: Applied
    Objective List: 19.1 Summarize the basic function performed by the foreign exchange market



Free download pdf