If the Exchange Rate Changes from 0

question 108

Multiple Choice

If the exchange rate changes from 0.35 Kuwaiti dinar per dollar to 0.30 Kuwaiti dinar per dollar, what has happened to the dollar?

• A)It has appreciated and so buys more Kuwaiti goods.
• B)It has appreciated and so buys fewer Kuwaiti goods.
• C)It has depreciated and so buys more Kuwaiti goods.
• D)It has depreciated and so buys fewer Kuwaiti goods.

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