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problem1: The Smithsonian Agreement established that foreign currencies

[A] Established the value of a US dollar at $35/ounce

[B] Will be used to create a large museum in Washington D.C.

[C] Will have a fixed exchange rate against each other

[D] Will float freely against each other in exchange

problem2: Bretton Woods established that

[A] Exchange rates should be free floating

[B] There is no need for a central reserve asset

[C] The gold standard should be abandoned

[D] All currencies should be traded in US dollars

problem3: Companies typically want to participate in foreign direct investment because

[A] They can retain the right to make important business decisions

[B] It is easier to protect trade secrets

[C] A smaller percentage of profits will have to be shared

[D] All of the above

problem4: The quotation, Canada (dollar)..  .7261 means

[A] It costs Canadian Dollar .7261 to buy US$ 1

[B] It costs US$ .7261 to buy one Canadian dollar

[C] It costs US$ 7.261 to buy one Canadian dollar

[D] All of the above

Basic Finance, Finance

  • Category:- Basic Finance
  • Reference No.:- M921509

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