If the U.S. dollar appreciates, an MNC's:
A) U.S. sales will probably decrease.
B) exports denominated in U.S. dollars will probably increase.
C) interest owed on foreign funds borrowed will probably increase.
D) exports denominated in foreign currencies will probably increase.
E) All of these are correct.

Question

Quizplus · Accepted Answer

When the U.S. dollar appreciates, U.S. goods become more expensive for foreign buyers, likely decreasing U.S. sales.

If the U.S. Dollar Appreciates, an MNC's