13. Lukes Trucks and Trailers, Inc. manufactures parts for long-haul tractor and trailer firms and is located in the United States. It purchases goods from Canada which are then sold to customers in the United States. The current exchange rate is C$1.35/$ (C$ stands for Canadian dollar and $ stands for U.S. dollar)

Using the data above, compute the indirect quote

A: $0.74/C

B: $1.34/C

C: $1.74/C

D: $0.35/C

E: None of the given answers are correct.

14. Using the same data from question 13, if the firm purchases the goods at a cost of 15,000 Canadian dollars, what is the cost in U.S. dollars if the indirect quote is actually $0.93/C$?

A: 15,000 US Dollars

B: 20,270 US Dollars

C: 13,950 US Dollars

E: None of the given asnwers are correct

15. Using the same data from question 13, Everything else being constant, if the exchange rate is C$1.25/$, then Luke would have to

A: Pay more than 9,000 U.S. Dollars to buy the Canadian Goods which cost 10,000 Canadian Dollars

B: Pay less than 9,000 U.S. Dollars to buy the Canadian Goods which cost 10,000 Canadian Dollars

C: Pay 9,000 U.S. Dollars to buy the Canadian Goods which cost 10,000 Canadian Dollars

E: None of the answers provided is correct.