Table 11.2.Supply and Demand of British Pounds

question 162

Multiple Choice

Table 11.2.Supply and Demand of British Pounds

-Refer to Table 11.2.At the exchange rate of $1.40 per pound,there is an ____ for pounds.This imbalance causes ____ in the price of the pound,which leads to ____ in the quantity of pounds supplied and ____ in the quantity of pounds demanded.

• A) Excess supply,a decrease,an increase,a decrease
• B) Excess supply,an increase,a decrease,an increase
• C) Excess demand,an increase,an increase,a decrease
• D) Excess demand,an increase,a decrease,an increase

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Definitions:

Stock Acquisition

The purchase of enough of the voting stock of a corporation to allow the buyer to control the corporation. Also called takeover.

Merger

The combination of two or more companies into one, where one corporation is completely absorbed by another corporation.

Consolidation

The joining of two corporations.

Securities

Financial instruments that signify ownership in a public company (stocks), a creditor relationship with a governmental body or a corporation (bonds), or rights to ownership as represented by an option.