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Suppose the nominal exchange rate between the Canadian dollar and the USD is $0.7272 USD/CAD. At the same time, a bundle of goods that costs

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Suppose the nominal exchange rate between the Canadian dollar and the USD is $0.7272 USD/CAD. At the same time, a bundle of goods that costs $1,000 USD in the USA costs $1,100 CAD to buy in Canada. We could say in such a case that the real exchange rate is: O A $0.7272 USD/CAD OB. $0.661 USD/CAD O C. Cannot be determined with the information provided OD. $0.80 USD/CAD

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