Which of the following is an example of a depreciating US dollar?
A) You book a holiday in Bali, Indonesia, for $1,700 in U.S. dollars. At checkout, you pay in Indonesian rupiahs at the exchange rate of the day. This works out to be an equivalent of $1,756 in U.S. dollars.
B) You purchase British pounds at the bank for your trip to London. Each British pound costs you almost U.S. $1.48.
C) You place an order for South African wine at the price of 70 rands per bottle. Prior to shipping, the company informs you that the price of each bottle has decreased to 68 rands per bottle.
D) You order an imported vehicle from Sweden. The price of the car at the time of order is U.S. $47,500. You settle your bill once the car has arrived, at the current exchange rate. Your bill works out to be $47,389.
Correct Answer:
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