Question

The fall in value of one currency relative to another is an appreciation of a currency....

The fall in value of one currency relative to another is an appreciation of a currency.

True

False

Business   Economics   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #1

False.

Appreciation and depreciation of one currency with respect to another currency are interrelated to each other

If currency appreciates means the value of one currency has increased with respect to another currency and vice versa

So when there is a fall in the one currency with respect to another then there is a depreciation of the currency

For example, if $1US is equal to 75₹ and currently if $1US is equal to 76₹ then here Indian rupees has been depreciated

0 0
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
1.) A rise in the value of a currency in relation to another currency in the...
1.) A rise in the value of a currency in relation to another currency in the international market is called: a. Appreciation b. Depreciation. c. Devaluation. d. Conservation. e. Redenomination. 2.) Deficit in a country's current account means that: a. The country is running a net deficit in its financial account. b. The country is a net lender to the rest of the world. c. The country is running a net surplus in its financial account. d. The country will...
1(a). (TRUE or FALSE?) Financial managers should not rely on the net present value method as...
1(a). (TRUE or FALSE?) Financial managers should not rely on the net present value method as a primary decision method. 1(b). (TRUE or FALSE?) If the value of one currency decreases relative to the value of another currency, the currency with the falling value is said to be strengthening. 1(c). (TRUE or FALSE?) Perpetuities contain an infinite number of annuity payments.
The rise in the value of one currency in relation to another is : Depreciation of...
The rise in the value of one currency in relation to another is : Depreciation of the currency. An appreciation of the currency. A debasement of the currency. A weakening of the currency. Cyclical unemployment refers to unemployment which occurs Because of the seasonal nature of some industries. As a result of the long term decline of the industry. At particular times of the year. As a result of a temporary drop in aggregate demand resulting in a recession. Which...
Interest rate risk arises from changes in: Select one: a. currency discount rates b. the value...
Interest rate risk arises from changes in: Select one: a. currency discount rates b. the value of fixed income securities because of changes in interest rates c. interest rates caused solely by inflation d. the value of currency relative to another currency
What is appreciation and depreciation of a currency? Explain how some countries take advantage of currency...
What is appreciation and depreciation of a currency? Explain how some countries take advantage of currency depreciation to boost exports.
According to the neoclassical theory of investment, expectations of a fall in the relative price of...
According to the neoclassical theory of investment, expectations of a fall in the relative price of capital goods should increase investment. True or false? A detailed explanation would be very much appreciated. Thank you kind souls :)
What impact will an appreciation of the dollar have on the relative price of foreign goods...
What impact will an appreciation of the dollar have on the relative price of foreign goods to Americans, and the relative price of American-made products to foreigners? What will likely happen to America's trade deficit?
An increase in the price level of a country, relative to another country's price level, will...
An increase in the price level of a country, relative to another country's price level, will cause its currency to appreciate." Evaluate this statement
A rise in the Canadian−dollar price of foreign currency is referred to as A. a depreciation...
A rise in the Canadian−dollar price of foreign currency is referred to as A. a depreciation of the Canadian dollar. B. a gain in the relative value of the Canadian dollar. C. a rise in the external value of the Canadian dollar. D. a decrease in the exchange rate. E. an appreciation of the Canadian dollar.
A country's currency depreciates relative to a foreign currency if it takes more of the home...
A country's currency depreciates relative to a foreign currency if it takes more of the home currency to buy the foreign currency. it takes less foreign currency to buy the home currency. the prices of goods in the home country increases faster than in the foreign country. Both it takes more of the home currency to buy the foreign currency and it takes less foreign currency to buy the home currency are correct.
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT