Answer:
The correct answer is C
Explanation:
Covered interest arbitrage (CIA), it is an strategy or tool of arbitrage trading, where the investor capitalizes on the rate of interest which is differential among two countries through using the forward contract for eliminate the exposure or cover to exchange the rate risk.
So, because of covered interest arbitrage, the market forces realign the cross exchange rate among two countries grounded on spot exchange rates of two currencies.
Answer: import; export
Explanation:
Canadian logging companies sell timber in the United States. To the U.S., the timber is an import, and for Canadians, the timber is an export.
An import is a good that is brought into a country and sold from another country while an export is a good that a country sells to other country. Timber is a export to the United States since it's brought from Canada.
Consumer decision making is a process that has 5 steps. The first step is the consumer recognition of the need they need to satisfy. It is termed as the basic step since one cannot look for money to satisfy a need that they have not first recognized.
Answer:
Price elasticity of demand Relation
Explanation:
The reason is that the price and demand are inversely proportional to each other. If the price of the product increases the demand of the product will decrease and vice versa. So this means that if the organization wants to generate maximum profit then it will have to set a price that generate maximum demand which means which generates maximum profit. The Bugatti is very expensive and the result is that very fewer people own it in the world but the Mercedes with an above average price has customers in millions, Honda has more than million customers because it is priced average. So the thing is that the pricing matters in deciding how much of the total customers you want.