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Refer to the Information Provided in Figure 34

question 109

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Refer to the information provided in Figure 34.4 below to answer the question(s) that follow. Refer to the information provided in Figure 34.4 below to answer the question(s)  that follow.   Figure 34.4 -Refer to Figure 34.4. The demand and supply of pounds are S<sub>2</sub> and D<sub>2</sub>. Which of the following can change the equilibrium exchange rate ($/pound)  to $2.50 and the equilibrium quantity to 400 pounds? A)  an increase in income in the United States B)  a sudden dislike of British products in the United States C)  an increase in the price level in Great Britain D)  a decrease in the price level in the United States Figure 34.4
-Refer to Figure 34.4. The demand and supply of pounds are S2 and D2. Which of the following can change the equilibrium exchange rate ($/pound) to $2.50 and the equilibrium quantity to 400 pounds?


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Capital Gains

The profit earned from the sale of an asset, where the sale price exceeds the purchase price.

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Profits paid out to shareholders by a corporation in the form of cash.

Retain Earnings

Profits that a company chooses not to pay out as dividends but instead reinvests in the business or keeps as a reserve for specific objectives.

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Individuals or entities that own shares in a corporation, giving them ownership interest and usually voting rights in the company.

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