You are the owner of an importing company, and you import cars from Italy, France...
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You are the owner of an importing company, and you import cars from Italy, France and Germany and must pay for these cars in Euros. You notice that you can buy Euros now for $1.08 per Euro or you can buy them for $1.1050 in three months time when you need them to pay for your cars that you are importing to Lexington. Why is there a difference in price to buy the Euros in three months vs now? Multiple Choice The market expects the Euro to weaken over the next three months The Market expects the Euro to strengthen over the next three months Interest rates are lower in Europe than they are in the USA Interest rates are higher in Europe than they are in the USA
You are the owner of an importing company, and you import cars from ltaly. France and Germany and must pay for these cars in Euros. You notice that you can buy Euros now for $1.08 per Euro or you can buy them for $1.1050 in three months time when you need them to pay for your cars that you are importing to Lexington. Why is there a difference in price to buy the Euros in three months vs now? Multiple Choice The market expects the Euro to weaken over the next three months The Market expects the furo to strengthen over the noxt three manths Interest rates are lower in Europe than they are in the USA Interest rates are higher in Europe than they are in the USA
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