Under the Current Managed Float Exchange Rate Regime,countries with Balance

question 36

Multiple Choice

Under the current managed float exchange rate regime,countries with balance of payments deficits frequently do not want to see their currencies depreciate because it makes ________ goods more expensive for ________ consumers and can stimulate inflation.

• A)foreign;foreign
• B)foreign;domestic
• C)domestic;foreign
• D)domestic;domestic

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Definitions:

Dividend Yield

A financial ratio that shows how much a company pays out in dividends each year relative to its stock price, offering insight into the income generated from an investment in the stock.

Common Dividends

Payments made by a corporation to its common shareholders from its after-tax profits.

Professional Judgement

Professional Judgement involves applying expertise, knowledge, and experience to make informed decisions and assessments in the context of accounting and auditing.

Accrual Accounting

An accounting method that records revenues and expenses when they are incurred, regardless of when cash transactions occur, providing a more accurate picture of a company's financial health.