Suppose three months ago the dollar price of a yen was $0.012.Today the dollar price of one yen is $0.018.If you are in the market for a brand new Honda automobile today,you will find that:
A) the price of the auto will be much less than it was three months ago
B) you will have trouble purchasing an auto because the dealership cannot keep up with the high demand
C) it will be impossible to obtain financing for the new auto
D) you will have to pay more for the auto than you would have paid three months ago
E) the trade-in value of your old vehicle will be much less than it would have been three months ago

Question

Quizplus · Accepted Answer

If a country's currency depreciates,more of that currency will be needed to buy another country's currency.As the dollar depreciates,the price of foreign goods rise for U.S.residents.

Suppose Three Months Ago the Dollar Price of a Yen