A UK-manufactured car sells for GBP 14.000. A french-manufactured car sells for EUR 15.750.  If the EUR/GBP exchange rate is 1.09, how much does the french-made car cost in GBP? a. 17,162 b. 14,450 c. 13,462 d. 18,427

If prices grew at a compound growth rate of 5% per annum in the United States and 0.08% per annum in Japan for the past eight years, what exchange rate represents PPP today if the two currencies, eight years ago, were in parity and exchanged at a rate of JPY 109/USD? JPY 207.3/USD   JPY 209.9/USD   JPY 74.2/USD   JPY 73.3/USD

1. If Thalland wants to maintain a fixed exchange rate of 1 baht per euro, it should ___________ euros in the foreign exchange market. To be successful, this policy would have to ___________ euros by______ billion euros at any given exchange rate. 2. If investors believe the baht is going to be _________ as a result of the change in demand, a speculative attack may occur. 3. True or False: in the event of a successful speculative attack. Thai businesses tend to suffer because their foreign debt will now cost more to repay. True False

Suppose you & classmates are marketing team assembled by your Brazil based firm To estimate demand in the U.S. market for its newly developed product. The market Research firm you hired requires $150,000 to perform a thorough study. But your Group is informed that total research budget for the year is 3 million Brazilian real & That no more than 20% of the budget can be spent on any one project. 16 points a. If the current exchange rate is 5 real/$, will you have the market study Conducted? Why or why not? (show your calculations) b. If the current exchange rate is 3 real/$, will you have the market study Conducted? Why or why not? (show your calculations) c. At what exchange rate your decision from rejecting the proposed research project to accept the Project?