The Next Questions Refer to the Following

question 16

Multiple Choice

The next questions refer to the following.
Suppose currency traders expect that one year from now, £1 will be worth $1.50, and the one-year risk-free interest rate in the UK is 7% while the one-year risk-free rate in the US is 3%.
-Suppose American prices are twice as high as British prices,but there is no inflation occurring or expected in either country. In the short run,the US interest rate is 10% and the British interest rate is 5%. Then on the spot market,according to UIP,

• A) £1 = $0.60 and the pound will depreciate to $0.50
• B) £1 = $2.10 and the pound will depreciate to $2.00
• C) £1 = $1.91 and the pound will appreciate to $2.00
• D) £1 = $2.05 and the pound will depreciate to $2.00
• E) £1 = $0.45 and the pound will appreciate to $0.50

Acknowledge the importance and methods of establishing group guidelines and norms.

Recognize the role and methods of preliminary activities (e.g., interviews, pregroup meetings) in enhancing treatment group effectiveness.

Understand the concepts of functional and dysfunctional behaviors within groups and the role of the leader in managing these.

Recognize the aspects and importance of informed consent and establishing purpose within treatment groups.