Which of the Following Is Included in the Supply of U.S

question 105

Multiple Choice

Which of the following is included in the supply of U.S. dollars in the market for foreign-currency exchange in the open-economy macroeconomic model?

• A)A retail outlet in Canada wants to buy handbags from a U.S. manufacturer.
• B)A U.S. bank loans dollars to Karen, a U.S. resident, who wants to purchase a car in the U.S.
• C)A U.S. based law firm wants to build a new office in Japan.
• D)All of the above are correct.

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Definitions:

Fixed Costs

Expenses that do not change with the level of production or sales activities within a certain range or period.

Break-even Point

The production level or sales volume at which total revenues equal total expenses, leading to no profit or loss.

Unit Variable Cost

The cost that varies with each unit produced, including direct materials and labor, but does not include fixed costs.

Property Tax Rates

The percentage of a property's assessed value that is charged as tax by local governments to fund public expenses.