最新英文版國(guó)際金融練習(xí)題Chapter-4

1、精品文檔INTERNATIONAL FINANCEAssig nment Problems (4)Name:Stude nt#:I. Choose the correct answer for the following questions (only ONE correct answer) (3.5 credits for each question, total credits 3.5 x 20 = 70)1. The excha nge rate system refers to.A. a country's internal economic policies such as

2、employment, inflation and in terest rate levelsB. a country'mon etary policiesC. a coun try'fiscal policesD. a country's choice as to which exchange rate regime such as fixed or floating or betwee n to follow2. The intern ati onal mon etary system is broadly defi ned as.A. the set of con

3、ven tio ns, rules, procedures and in stituti ons that gover n the con duct of financial relations between nationsB. the set of rules to man age every coun t'ce ntral banksC. the set of rules to solve trade disputes betwee n coun triesD. the set of rules to develop world economy3. Un der the gold

4、 sta ndard, the excha nge rate was fixed because.A. each curre ncy unit could be conv erted to a weight of goldB. the gold could be exported and imported with no restricti onsC. gold coins could be freely min tedD. all of the above4. When the gold standard prevailed, the United States fixed the pric

5、e of gold at $20.646 per ounce and the Britain fixed the price at 4.252 per ounce. Now suppose the fees for tran sport ing one ounce of gold were approximately $0.03 per sterl ing of gold. Then the exchange rate of dollar versus sterling would fluctuate betweenA. $4.8856/ ? and $4.8258?B. $4.9042? a

6、nd $4.8070?C. $4.9770 ? and $4.7463?D. We don't know, becauseit depe ndso n the supply and dema nd forces in the foreig n excha nge market5. Under the gold standard, the par value of the exchange rate was determined byA. gold parity of the relative curre nciesB. interest rate of the relative cur

7、renciesC. dema nd and supply forces in the foreig n excha nge marketD. inflation rate of the relative currencies6. Which of the following is true regarding the collapse of the gold standard system?A. The World War I had many European countries suspend convertibility of their currencies into gold.B.

8、The political costs of maintaining the overvalued pound were so great in the United Kingdom.C. Natio ns facing 1929 1933 worldwide recessi on decided to pursue objectives such as higher employment rates and real growth rates, rather than to maintain the exchange value of their currencies.D. All of t

9、he above are the reasons that the gold standard finally collapsed.7. The U.S. dollar was designated as the international currency in internationalsettlements under the Bretton Woods system. The dollar was accepted by the rest of the world because .A. it could be used to purchase U.S. goods and servi

10、cesB. it could be converted to gold at a price of $35/ounceC. the U.S. was the only super power at that timeD. the IMF forced the rest of the world to use dollar to settle international debts8. The principal function of the International Monetary Fund (IMF) was originally toA. act as a supranational

11、 regulatory agency for all countrie'scentral banksB. lend to member nations experiencing a shortage of foreign exchange reservesC. finance postwar reconstruction, particularly in Europe and JapanD. reduce trade barriers and settle disputes among countries relating to currency negotiations9. Befo

12、re 1971 the exchange rates were pretty stable because of the Bretton Woods Agreement. So if the par value of the Japanese Yen and U.S. dollar was set by100/$, the upper limit and lower limit that this exchange rate was allowed to fluctuate freelywould be .A.¥101/$ and99¥/$B.¥102.25/$

13、and 97¥.75/$C.¥105/$ and95¥/$D.¥110/$ and90¥/$10. The increase in value of a currency pegged to gold or another currency is knownas ,A. appreciationB. depreciationC. revaluationD. devaluation11. A country that regulates the rate at which its currency is exchanged for all oth

14、ercurrencies is considered to have a exchange rate system.A. fixed or managedB. floating or flexibleC. currency boardD. dollarization12. Which of the following is true for those who are in favor of floating exchange rate system?A. Floating exchange rates ensure balance-of-payments equilibriumB. Floa

15、ting exchange rates ensure monetary autonomyC. Floating exchange rates promote economic stabilityD. All of the above are true.13. Since the advent of floating exchange rates in 1973 it has become evident that authorities have not always let their currency float freely but rather they have frequently

16、 intervened to influence the exchange rate. This floating exchange rate system is also called .A. clean floatB. managed floatC. dirty floatD. Both B and C are correct14. One of the benefits of the creation of euro is that it .A. promotes trades and investments in those euro-zone countriesB. makes th

17、ose euro-zone countries avoid the exchange rate risksC. helps those euro-zone countries restrain inflationD. All of the above are benefits for euro-zone countries.15. Which of the following correctly identifies exchange rate systems from less fixed to more fixed?A. independent floating, currency boa

18、rd, crawling pegsB. independent floating, crawling pegs, dollarizationC. independent floating, currency board, managed floatingD. dollarization, currency board, crawling pegs16. A currency board's foreign exchange reserves are equal to or slightlymore of its notes and coins in circulation, as se

19、t by law.A. 100%B. 90%C. 75%D. 50%17. Which of the following features are NOT shared by independent floating exchange rate system?A. The exchange rates are determined by the market forces.B. The exchange rates may change minute by minute.C. The central bank has to maintain large quantities of foreig

20、n exchange reserves.D. The central bank can pursue desired monetary policy.18. The IMF constitution was amended to allow member nations to determine their own exchange rate arrangements by the .A. Louvre AccordB. Jamaica AccordC. Smithsonian AgreementD. Plaza Agreement19. The United States adopted a

21、 modified gold standard in 1934 when the dollar was devalued to $35 per ounce of gold from the 20.67 per ounce price in effect prior to World War I. The dollar's devaluation rate can be calculated as .A. (20.67 -35)/35B. (20.67 -35) / 20.67C. (35 -20.67) / 35D. (35 -20.67) / 20.6720. Which of th

22、e following is NOT true regarding the 1976 Jamaica Accord?A. It formally legitimized the floating exchange system.B. It aimed at increasing the importance of SDRs in international reserves.C. It emphasized the importance of gold in international reservesD. All of the above are true.II. QuestionsQues

23、tions 1 through 4 are based on the following information. (2.5 credits for each question, total credits 2.5 x 4 = 10 credits)Assume one Argentina peso is composed of $0.50 and? 0.50. Also assume the spot dollar/euro exchange rate is $1.10?/ .1. The peso/dollar exchange rate should be .2. The peso/eu

24、ro exchange rate should be .3. The weight assigned to the U.S. dollar in one Argentina peso is .4. The weight assigned to the euro in one Argentina peso is .Questions 5 through 7 are based on the following information(. 10 credits total) Under the gold standard the gold par value was $20.67 per ounc

25、e in the UnitedStates. The gold par value was?4.2474 per ounce in Britain.5. The par exchange rate (dollars per pound) implied by the gold parities is . (2 credits)6. How would you arbitrage if the exchange rate quoted in the foreign exchange market were $4.00 per pound in stead? (4 credits)7. What

26、pressure is placed on the excha nge rate by this arbitrage? (4 credits)8. A Europea n-basedma nu facturer ships a machi ne tool to a buyer in Jorda n. The purchase price is ? 375,000. Jordan imposes a 12% import duty on all products purchased from the Europea n Un io n. The Jorda nian importer the n

27、 re-exports the product to a Saudi Arabia n importer, but on ly after impos ing its own resale fee of 22%. Given the following spot exchange rates on May 25, 2004, what is the total cost to the Saudi Arabian importer in Saudi Arabian riyal, and what is the U.S. dollar equivale nt of that price?(10 credits)Spot rate, Jordanian dinar (JD) per euro?；)JD 0.8700/?Spot rate, Jorda nia n din ar (JD) per U.S. dollar ($)JD 0.7080/$Spot rate, Saudi Ara