CUET Economics - If the current exchange rate is Rs. 80 to a pound and investors believe that the pound is going to appreciate by the end of the month and will be worth Rs.85, investors think if they gave the dealer Rs. 80,000 and bought 1000 pounds, at the end of the month, they would be able to exchange the pounds for Rs. 85,000, thus making a profit of ...... | PYQs + Solutions

CUET Economics 2025 14 May Shift 1

Macro

Easy

Rs. 5,000

Rs. 1,000

Rs. 85,000

Rs. 80,000

✅ Correct Option: 1

Related questions:

13 May Shift 2

When income increases and due to increase in income the demand for foreign goods increases then in this scenario what impact does economy face on foreign exchange rate ?

15 May Shift 1

Which of the following is not a merit of the flexible exchange rate system?

28 May Shift 1

Arrange the following in correct sequence with respect to exchnage rate :-

(A) The central bank purchases dollars to absorb the excess supply.

(B) The exchange rate is fixed by the government higher than the market rate of exchange.

(D) Supply of the dollars exceeds the demand for the dollar.

Choose the correct answer from the options given below:

(B), (A), (D), (C).
(D), (A), (C), (B).
(C), (A), (D), (B).
(C), (B), (D), (A).

CUET Economics 2025 14 May Shift 1 PYQs

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