If,at the Current Exchange Rate Between the Dollar and the South

question 82

Multiple Choice

If,at the current exchange rate between the dollar and the South African rand of 6.92 rand per dollar,the rand is "undervalued," how do you expect demand and supply in the foreign exchange markets to respond?

• A)The demand for the dollar will fall,while the supply of the rand will rise.
• B)The demand for the dollar will rise,while the supply of the rand will fall.
• C)The supply of the dollar will rise,while the demand for the rand will rise.
• D)The supply of the dollar will rise,while the demand for the rand will fall.

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Definitions:

Intensive Distribution

A distribution strategy where a company sells its products in as many outlets as possible to maximize coverage and sales potential.

Density of Distribution

The extent or thoroughness of a product's availability across different outlets and locations.

Retail Outlet

A physical or digital store where consumers can purchase goods or services.

Target Market Coverage

The extent to which a business reaches its defined target market through its marketing efforts.