Answer:
The correct answer to the following question will be "$1.04/C$1".
Explanation:
The given values are:
U.S's spot rate = $1/C$1
Rate of inflation = 4%
Now,
According to Relative PPP, As Canada will have lower unemployment or inflation, its currency would appreciation by the gap in society, thus by 4%.
Hence,
New rate = ![1\times 1.04](https://tex.z-dn.net/?f=1%5Ctimes%201.04)
=
$![1](https://tex.z-dn.net/?f=1)
Answer:
Check the explanation
Explanation:
the step by step answer to the question above can be seen below:
Solution 1:
Number of cocoa beans allowed for the actual output = Actual Output pounds * Cocoa beans per unit
= 480,000 * 400 = 192,000,000 beans
Solution 2:
Labor hours allowed for the actual output = 480,000*0.15 = 72,000 hours