If the USInterest Rate Falls While the British Interest Rate Remains Constant,which

question 137

Multiple Choice

If the U.S.interest rate falls while the British interest rate remains constant,which of the following will happen in the market for pounds?

• A) A rightward shift of the demand curve,a leftward shift of the supply curve,and an appreciation of the pound
• B) A leftward shift of the demand curve,a rightward shift of the supply curve,and an appreciation of the pound
• C) A leftward shift of the demand curve,a leftward shift of the supply curve,and a depreciation of the pound
• D) A rightward shift of the demand curve,a rightward shift of the supply curve,and an appreciation of the pound
• E) A leftward shift of the demand curve,a rightward shift of the supply curve,and a depreciation of the pound.

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The amount each unit sold contributes to covering a company's fixed costs, after variable costs have been deducted.

Direct Material Cost

The cost of raw materials and components that are directly used in the production of a product.

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