ECONOMICS
BALANCE OF PAYMENTS
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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A US car dealer agrees an import price of US$25000 for aJapanese car at the current rate of exchange. Then US dollarthen weakens by 10% against the Japanese yen. What willbe the new import paid for the Japanese car?
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US$ 20000
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US$ 22500
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US$ 25000
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US$ 27500
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Explanation:
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