Which of the Following Would Decrease the Value of the Dollar

question 167

Multiple Choice

Which of the following would decrease the value of the dollar in the long run?

• A)a decrease in inflation in the United States relative to other countries
• B)a decrease in the demand for American goods relative to goods from other countries
• C)an increase in U.S.tariffs on foreign goods
• D)a decrease in the supply of dollars on the foreign exchange market

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Definitions:

Selling

The process of promoting and transferring goods or services to customers in exchange for money.

Administrative Expense

Costs related to the general operation of a company, such as salaries of executive officers, legal and corporate office expenses.

Planning Budget

A budget designed for a particular level of activity, used for planning purposes at the beginning of a period.

Spending Variance

The difference between the actual amount spent and the budgeted amount in a specific period.