If You Are an Importer of Goods and You Will

question 58

Multiple Choice

If you are an importer of goods and you will make payment for the purchase of inventory on 90-day terms,which of the below is the correct term for the exchange rate that you will use?

• A) indirect rate
• B) spot rate
• C) direct rate
• D) forward rate

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Definitions:

Labor Demand

The sum total of labor that employers are keen and able to take on at a certain wage level throughout a defined period.

Wage Rates

Wage rates refer to the standard amount of compensation offered to employees for their labor services per unit of time or unit of output.

Labor Costs

Expenses associated with compensating the workforce, including wages, salaries, benefits, and related taxes paid by an employer for the work done by employees.

Total Costs

The total of variable and fixed expenses associated with the creation of goods or services.