Two of the most often used determinants of exchange rates are ________

A) real interest rate differentials and current account balances
B) nominal interest rates and current account balances
C) real interest rate differentials and real price levels
D) nominal interest rate and inflation rate differentials

Answer: A

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An open-end bond mutual fund is holding a three-year, $1 million face value 5 percent annual coupon bond selling at par. What is the impact on the total asset value of the fund of a 1 percent decrease in interest rates?

A. A decrease of $10,000. B. An increase of $10,000. C. A decrease of $26,730. D. An increase of $27,751. E. The answer depends upon the number of mutual funds shares outstanding.

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One perspective on workplace ethics is that people who have close ties to each other are less likely to behave unethically toward each other

Indicate whether the statement is true or false.

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