Which of the following conclusions is best supported by the CEO's statement?

A) The higher the value of the Canadian dollar, the fewer Americans are likely to shop in Canada for lower prices.
B) The lower the value of the Canadian dollar, the more Canadians are likely to shop in the United States for lower prices.
C) The value of currency has little impact on U.S./Canadian trade.
D) The Canadian dollar has at times achieved parity with the American dollar.
E) The Hudson's Bay Company headquartered in Toronto is likely to benefit from changes in the U.S./Canada exchange rate.

Answer: A
Explanation: A) The most important conclusion to be drawn from the CEO's statement is that the value of the Canadian dollar relative to the cost of the U.S. dollar has a significant impact on spending choices. When the Canadian dollar is high, Americans tend not to import products from or buy in Canada, as there are no cost savings involved. Choice B has it backwards—when the Canadian dollar is low, fewer Canadians are likely to shop in the United States as they can get more value for their money in Canada. Choice C is not supported by the CEO's statement, and Choice D is true but irrelevant. Choice E is too vague to be fully evaluated.