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The Realized Dollar Returns for a U

question 6

Multiple Choice

The realized dollar returns for a U.S.resident investing in a foreign market will depend on the return in the foreign market as well as on the exchange rate fluctuations between the dollar and the foreign currency. Calculate the variance of the monthly rate of return in dollar terms,if the variance of the foreign market's return (in terms of its own currency) is 1.14,the variance between the U.S.dollar and the foreign currency is 17.64,the covariance is 2.34,and the contribution of the cross-product term is 0.04.(Do not round intermediate calculations)

Identify the scope of macroeconomics including its tools and objectives.
Understand economic variables and their measurement in time frames.
Recognize the impact of economic policies on national and global economic performance.
Understand the role and functions of money in an economy.

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