A Depreciation of the Dollar Will

question 21

Multiple Choice

A depreciation of the dollar will

• A)lower the foreign currency price of U.S. goods in foreign markets.
• B)increase the foreign currency price of U.S. goods in foreign markets.
• C)lower the dollar price of foreign goods in the United States
• D)Both b and c

---

Definitions:

Export Cost

Expenses associated with sending goods or services to another country for sale or trade.

Variable Manufacturing Costs

Costs that vary directly with the level of production output, including expenses like raw materials and hourly labor costs.

Managerial Decision-making

The process by which managers analyze options and make determinations regarding the best courses of action for the organization.

Relevant Costs

Relevant Costs are those costs that will be affected by a decision in a specific situation, including future costs that may vary or change as a result of the choice.