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WorksheetsExchange rates
Total questions: 10
Worksheet time: 4mins
What is an exchange rate?
The rate at which goods are exchanged between two countries
The price of one nation's currency in terms of another currency
The price of goods in terms of a foreign currency
When a nation's balance of trade is in either a surplus or deficit
According to the table, what is the USD equivalent of 1 Australian dollar?
1 USD
1.3192 USD
1.5896 USD
1.0283 USD
According to the table, what is the Euro equivalent of 1 USD?
1 Euro
0.76 Euros
0.63 Euros
0.97 Euros
What is the increase in the value of a currency?
Exchange rate
Recession
Depreciation
Appreciation
What does it mean when an economist says a currency is stronger?
It can be exchanged for more of a lesser foreign currency
It can be converted to prices in any currency
There a few things it could buy
It will buy fewer foreign goods
What is a decrease in the value of a currency?
Appreciation
Depreciation
Inflation
Absolute advantage
If you are going to visit America and have $2999 to spend, how much currency could you obtain? (1AUD = 0.68USD)
= 1x 0.68
= 1 / 0.68
= 2999 x 0.68
= 2999 / 0.68
After coming back from America, you have 500 USD left. You want to convert the 500 USD to AUD, how much will you get? (1 AUD = 0.68 USD)
500 / 0.68
500 x 0.68
600 /0.68
600 x 0.68
If the AUD were to appreciate in the relation to the USD, what effect would this have?
Australian imports become cheaper.
Australian exports become more expensive to American buyers.
Australian imports become more expensive.
Australian exports become less expensive to American buyers.
If the AUD were to depreciate in the relation to the USD, it increased level of the external debt which is easured in overseas currencies.
False
True
