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NEW QUESTION: 1
A. Option C
B. Option D
C. Option A
D. Option B
Answer: C
NEW QUESTION: 2
A. Option D
B. Option B
C. Option A
D. Option C
Answer: D
NEW QUESTION: 3
Which of the following numbers is the protocol number of VRRP packets?
A. 0
B. 1
C. 2
D. 3
Answer: B
NEW QUESTION: 4
Assuming that the real rate of interest is the same in both countries, if Country A has a higher nominal interest rate than Country B, the currency of Country A will likely be selling at a:
A. Spot discount relative to the currency of Country B.
B. Spot premium relative to the currency of Country B.
C. Forward premium relative to the currency of Country
D. Forward discount relative to the currency of Country B.
Answer: D
Explanation:
If the real rates of interest are equal, the country with the higher nominal interest rate is expected to experience a higher rate of inflation. A higher rate of inflation is associated with a devaluing currency, so the currency of the country with the higher nominal interest rate will likely be selling at a forward discount.
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