1. The price of British Pounds in US dollars was 1.5355 last month and is 1.5247 today. Which of the following is TRUE given this information?

	a.	Turning 100 British Pounds into US dollars today would give you approximately one more dollar compared to the amount of US dollars you would have received last month
	b.	The British Pound has lost value against the US dollar
	c.	The value of the US dollar has not changed with respect to the British Pound
	d.	Today, $1000 US dollars would give you approximately 1,525 British Pounds
	e.	Today, 1000 British Pounds can be converted into approximately $153 US dollars

2. Mr. Smarts utility curve is shaped such that for an equal dollar gain or loss, his happiness lost exceeds his happiness gained. How can we describe Mr. Smart?

	a.	As risk loving
	b.	As risk averse
	c.	As risk losing
	d.	As risk diversifying
	e.	As risk neutral