Suppose That You Expect During the Next Year the Dollar

question 94

Multiple Choice

Suppose that you expect during the next year the dollar will appreciate against the pound from 0.5 pound to the dollar to 0.75 pound to the dollar. How much will you expect to make on an investment of $10,000 in British government securities that will mature in one year and pay interest of 8%?

• A)-59.5%
• B)-28%
• C)8%
• D)28%

---

Definitions:

Statement

Similar to an invoice; a summary of total amounts owed, including outstanding charges as well as payments received for services provided by the office.

Previous Month

A term referring to the month that directly precedes the current month in the calendar.

Itemized List

A detailed list where individual items or elements are separately presented and often described or quantified.

Diplomatic Way

A strategy or method that involves handling situations in a sensitive, tactful, and effective manner, often to maintain good relationships and avoid conflict.