Figure 30-7 -Refer to Figure 30-7.Under the Bretton Woods System of Exchange

question 27

Multiple Choice

Figure 30-7

-Refer to Figure 30-7.Under the Bretton Woods System of exchange rates,if the par exchange rate was $4 per pound in the figure above,then which of the following is true?

• A) The Bank of England would have to buy 0.7 million pounds per day with dollars.
• B) There is a shortage of pounds equal to 0.7 million.
• C) The Bank of England would have to sell 0.7 million pounds per day in exchange for dollars.
• D) The par exchange rate is below the equilibrium rate, causing a shortage of domestic currency.

Gain insights into geographical differences in employment practices, such as drug testing.

Distinguish between different traits measured in personality tests, such as conscientiousness.

Appreciate the challenges in measuring potential job performance and inherent abilities.

Learn about the processes and importance of establishing construct validity.

---

Definitions:

Accrual

A bookkeeping approach that logs income and expenditures at the time they occur, irrespective of the timing of actual cash transactions.

Financial Statement

A formal record of the financial activities and position of a business, person, or other entity, presenting the financial results and health of the entity.

Onerous Contract

A contract in which the unavoidable costs of meeting the obligations under the contract exceed the economic benefits expected to be received under it.

AASB 137

The Australian Accounting Standards Board standard that deals with the treatment of provisions, contingent liabilities, and contingent assets.