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scoundrel [369]
3 years ago
6

If investors from Denmark increase purchases of U.S. securities, which of the following is true regarding the demand for dollars

and the international value of the U.S. dollar? Demand for U.S. dollar / International Value of U.S. dollar (2 points)
Business
1 answer:
saw5 [17]3 years ago
3 0

Answer:

Increase / Increase.

Explanation:

Increase purchases of the U.S securities by the Denmark investors will place an increase on both the demand for U.S. dollar and international value of U.S. dollar since the business is done with the U.S dollar.

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The dollar-weighted annual yield for this nine-month period is -2.7%.

<u>Solution:</u>

The investment of deposit on April 1 (Feb, March = 2 months)

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The investment of deposit on May 1 (Feb, March, April = 3 months)

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Therefore, Dollar-weighted annual yield for this nine-month period,

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On plugging-in the values,

\Rightarrow\frac{14820-(19800+1200+2600-8400}{19800+\frac{7}{9}(1200)+\frac{6}{9}(2600)-8400}=-0.027

In percentage notation,

-0.027=(-0.027\times100)\frac{1}{100}=-2.7\% (\because \frac{1}{100}=\%)

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