The Nominal exchange rate is .8 British pounds per dollar. If a burger in the United States costs $10, how many British pounds must a burger cost in London for purchasing-power parity to hold?

If the exchange rate is 1$ = 4₹, how many ₹s do I need to buy a $16 movie ticket in America?Group of answer choices 1) 64₹ 2) 4₹ 3) $4 4) 16₹

Assume that you buy a 1-year, 150,000-peso Philippine bond that pays 8 percent when the exchange rate is 1 Canadian dollar for 40 pesos. If, after one year, the peso falls to 1 Canadian dollar equals 45 pesos, how much have you gained or lost in Canadian dollars? Round your answer to the nearest dollar amount (Click to select)S

If a U.S. dollar purchases 1.2 Euros, and a gallon of milk costs $3 in the U.S. and 5 Euros in Spain what is the real exchange rate? Group of answer choices 1.8 .93 2 .72

What is purchasing power parity? Suppose a Starbucks tall latte cost $4.00 in the United States and 3.20 euros in the Euro area. Also, suppose a McDonald’s Big Mac costs $3.50 in the United States and 2.45 euros in Euro area. If the nominal exchange rate is 0.80 euros per dollar, which goods have prices that are consistent with purchasing power parity

If the purchasing-power parity theory is true, then the nominal exchange rate between two countries equals the ratio of the countries’ price levels    • True • False

Accel Co. produces a standard tennis racket in the Netherlands and sells it online to consumers in the United States. This racket competes with a tennis racket produced by Malibu Co. in the United States, which is of similar quality and is priced at about $140. Accel has set the price of its tennis racket at 100 euros. Assuming that the euro's exchange rate (during the sales month in question) was $1.60, then the price of Accel's racket to U.S. consumers is $_________ (enter a whole number). Because U.S. consumers could buy a Malibu racket for only $140, Accel only sold about 1,000 rackets to U.S. consumers in that month. Since then, however, the euro's value has weakened; this month, the euro's exchange rate is only $1.20. U.S. consumers can now purchase the Accel tennis racket for $_________(enter a whole number), which is less than that charged for the U.S. Malibu racket. In this month, Accel sold 5,000 rackets. The U.S. demand for this tennis racket is price-elastic (sensitive to…

When you write an exchange rate in terms of how many units of a foreign currency it takes to buy one US dollar, we call that: a)a direct quote b) the real price c) an indirect quote d) a depreciation

If the nominal exchange rate e is foreign currency per dollar, the domestic price is P, and the foreign price is P*, what is the definition of the real exchange rate?

If the current U.S. interest rate is 10% and PPP is expected to hold, what should be the Canadian interest rate to maintain interest parity?