If the cost of the yen per dollar changes from 100 to 110 yen per dollar,...
If the cost of the yen per dollar changes from 100 to 110 yen per dollar,
a. The dollar has depreciated against the yen
b. the cost of a yen has increased in terms of dollars
c. The dollar has appreciated against the yen.
d. The yen has appreciated against the dollar.
Homework Answers
Answer:-
The correct Option is c.
The dollar has appreciated against the yen. As the yens required have increased from 100 to 110 to buy one dollar therefore it means that the value of yen has decreased with respect to the dollar.
Option a is incorrect as the dollar has appreciated but not depreciated against the yen.
Option b is incorrect as the cost of yen has decreased in terms of dollar.
Option d is incorrect as the yen has depreciated against the dollar.
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