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-Based on the Diagram Above,if the Official Value of the Krone

question 148

Multiple Choice

  -Based on the diagram above,if the official value of the krone is fixed at $0.14 per krone,then the Norwegian krone is _________ and the international reserves of Norway will ___________ kroner per period. A)  undervalued;increase by 2,000 B)  undervalued;increase by 3,500 C)  overvalued;decrease by 1,500 D)  overvalued;decrease by 1,200 E)  overvalued;decrease by 3,500
-Based on the diagram above,if the official value of the krone is fixed at $0.14 per krone,then the Norwegian krone is _________ and the international reserves of Norway will ___________ kroner per period.


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