INTB 336-HWK2-ch14 with ans文献.pdf

  IINTB 336 - Internattional Mooney and FFinance Prof. Maaria Pia Ollivero Homewoork Assignnment #2 ((on chapteer 14) Questionn 1: (2.5 poiints) Compuute how manny dollars it wwould cost too buy an Eddinburgh Wooolen Mill sweater costing 50 British ppounds for thhe following exchange raates? (2.5 poinnts) Computee how many British pounnds it wouldd cost to buy a pair of Ammerican desiigner jeans co ssting $45? 1      (5 points) Explain how the competitiveness of British and American exports are affected as we move down the rows in the table above. Question 2: (10 points) Suppose the US-dollar-per-currency exchange rate of the euro was 1.55 on Thursday and 1.49 on Friday. Did the euro appreciate or depreciate relative to the US dollar? What was the rate of appreciation / depreciation in percentage terms? Show your calculations for full credit. Question 3: (10 points) Who are the four major participants in the foreign exchange market? (2.5 points each). Question 4: (10 points) a) (5 points) Complete the following cross-rate table: Australian $ British Canadian $ Swiss franc US$ pounds Australia 1.53 Great Britain 0.65 Canada 1.45 Switzerland 1.37 United States