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vredina [299]
3 years ago
15

A pen costs £50 in Britain. An identical pen costs $70 in the United States when the exchange rate is £1 = $1.50. Which of the f

ollowing is correct? Multiple Choice
A. A trader can make money by buying the pen in Britain and selling it in the United States at $70.
B. The deal is the same in both countries.
C. Britain offers a better deal.
D. The U.S. offers a better deal.
Business
1 answer:
Umnica [9.8K]3 years ago
6 0

Answer: D

Explanation:

If you multiply 50×1.50 to get the American value of the pen in Europe it is 75 dollars US, so its cheaper in the US.

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