Economic Influences (Edexcel A-Level Business): Flashcards
📚Flashcards
Practise the cards
10 cards from this deck
ShowHide
Practise the cards
10 cards from this deck
Exchange rate definition
Exchange rate definition
Price of one currency in terms of another currency
Convert FROM pounds to foreign currency - operation?
Convert FROM pounds to foreign currency - operation?
Multiply the pound amount by the exchange rate
Convert FROM foreign currency TO pounds - operation?
Convert FROM foreign currency TO pounds - operation?
Divide foreign currency amount by exchange rate
Appreciation of exchange rate meaning
Appreciation of exchange rate meaning
Exchange rate rises; currency increases in value
Effect of appreciation on export prices & demand
Effect of appreciation on export prices & demand
Exports more expensive; demand falls
Effect of appreciation on import prices & demand
Effect of appreciation on import prices & demand
Imports cheaper; demand rises
Depreciation of exchange rate meaning
Depreciation of exchange rate meaning
Exchange rate falls; currency loses value
Effect of depreciation on export prices & demand
Effect of depreciation on export prices & demand
Exports cheaper; demand rises
SPICED mnemonic stands for?
SPICED mnemonic stands for?
Strong Pound, Imports Cheaper, Exports Dearer
Typical commission charge for currency conversion
Typical commission charge for currency conversion
Around 2%