If a Certain Automotive Part Can Be Purchased in Mexico

question 158

Multiple Choice

If a certain automotive part can be purchased in Mexico for 58 pesos or in Canada for $6.25 and if the nominal exchange rate is 11 pesos per Canadian dollar,then the real exchange rate for the automotive part is equal to

• A) 1.19.
• B) 51.20.
• C) 0.125.
• D) 0.8.
• E) 8.

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Definitions:

Negative Punishment

A behavior modification technique involving the removal of a desirable stimulus to decrease the frequency of an unwanted behavior.

Foul Language

The use of offensive, rude, or vulgar words and phrases in speech or writing.

Weekly Allowance

A fixed amount of money given on a weekly basis, often from parents to children, as a way of teaching financial responsibility.

Discrimination

The unjust or prejudicial treatment of different categories of people, often based on race, age, sex, or disability.