-Using the table above, if the current market value of the dollar is 90 francs
A) investor A expects dollar appreciation, but B and C expect depreciation.
B) investor C expects dollar depreciation, but A and B expect appreciation.
C) all three investors expect the dollar to appreciate.
D) all three investors expect the dollar to depreciate.

Question

-Using the table above, if the current market value of the dollar is 90 francs
A) investor A expects dollar appreciation, but B and C expect depreciation. 
B) investor C expects dollar depreciation, but A and B expect appreciation. 
C) all three investors expect the dollar to appreciate. 
D) all three investors expect the dollar to depreciate.

Quizplus · Accepted Answer

Investor C expects the dollar to depreciate because their forecast is below the current market value (90 francs), indicating they believe the value of the dollar will decrease. Conversely, investors A and B expect the dollar to appreciate because their forecasts are above the current market value, indicating they believe the value of the dollar will increase.

-Using the Table Above, If the Current Market Value of the Dollar