If the U.S. dollar appreciates relative to foreign currency, what is likely to be the result for the U.S. company that has company branches abroad?
A. Profits will increase, when measured in U.S. dollars.
B. Profits will decrease, when measured in U.S. dollars.
C. Foreign exports to the United States will decrease.
D. Foreign demand for U.S. goods and services will decrease.
Answer: B