Y9 Business Studies - C22 Business in International Community

What is the value of one currency compared to another?

• Exchange rate

• Supply and demand

• Market trend

• Demand and supply

What is the impact of currency appreciation on import prices?

• Export prices fall

• Import prices rise

• Export prices rise

• Import prices fall

Which type of exchange rate allows the currency to change freely based on market forces?

• Depreciation rates

• Appreciation rates

• Fixed rates

• Floating rates

What is the purpose of international economic organisations?

• To resolve trade problems

• To set exchange rates

• To increase import prices

• To decrease competition

What is the process by which countries are connected through the trade of goods and services?

• Free trade agreements

• Multinational companies

• Globalisation

• Specialisation

What is the main reason for businesses to become multinationals?

• To cut labour costs

• To decrease national output

• To reduce tax revenues

• To increase competition

What is the consequence of globalisation on businesses?

• Less competition

• More choices and lower prices for consumers

• Increased inefficiency

• Decreased international trade

Which international economic organisation creates a single market in the European Union?

• World Trade Organisation (WTO)

• European Union (EU)

• United Nations (UN)

• North American Free Trade Agreement (NAFTA)

What is the value of 1 US dollar in Malaysian Ringgit according to the text?

• 4.65 Malaysian Ringgit

• 1.00 Malaysian Ringgit

• 3.80 Malaysian Ringgit

• 5.20 Malaysian Ringgit

What are the effects of currency depreciation on export prices?

• Export prices rise

• Import prices fall

• Export prices fall

• Import prices rise