The Present Exchange Rate Is C$ = U

question 51

Multiple Choice

The present exchange rate is C$ = U.S.$0.78.The one year future rate is C$ = U.S.$0.76.The yield on a 1-year U.S.bill is 4%.A yield of __________ on a 1-year Canadian bill will make investor indifferent between investing in the U.S.bill and the Canadian bill.

• A)2.4%
• B)1.3%
• C)6.4%
• D)6.7%
• E)none of the above

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Definitions:

Pontine Respiratory Neurons

Neurons located in the pons of the brainstem that play a critical role in regulating the rhythm of breathing.

Medulla Oblongata

The lowest part of the brainstem, connecting the brain to the spinal cord and controlling vital functions such as breathing and heart rate.

Blood Oxygen Levels

A measure of how much oxygen is being carried in the blood, critical for the metabolic processes in the cells.

Regulation of Respiration

The processes involved in controlling the rate and depth of breathing.