23. The Euro (EUR) is the official currency of 19 of the 27 member states of the European Union. Which of the following is a disadvantage of a single-currency area?
(A) Elimination of costs of converting currencies
(B) Adjustment to asymmetric shocks (shocks that have different effects on various member countries)
(C) Elimination of uncertainties associated with possible exchange rate realignments and fluctuations within the permitted band
(D) A lower average rate of inflation (provided that the European Central Bank is truly independent from short-term political considerations)

【已刪除】19. Empirical studies show that the typical shape of firms’ long-run average cost curves is (A) sloping up to the right (B) sloping down to the right (C) sloping down to the right and then levelling off (D) horizontal (E)一律給分

20. Trump Machinery is analyzing a proposed project that is expected to sale 2,450 units, with an error range of ±8%. The expected variable cost per unit is $246, and the expected fixed costs are $309,000. Both cost estimates are considered accurate within a ±3% error range. The depreciation expense is $106,000. The sales price is estimated to be $599 per unit within a ±2% error range. What is the amount of the total cost per unit under the worst-case scenario? (A) $448.58 (B) $404.16 (C) $394.58 (D) $366.67

21. Which of the following pairs of causal relations is incorrect? (A) Banker’s interference in the market – Panic of 1907 (B) Wrong decisions made by governemnt – Great Depression (C) Change in the exchange rate system – 1997 Asian financial crisis (D) Inappropriate manipulation of financial products – Great Recession

22. Which of the following is NOT a function of currency? (A) Unit of account (B) Store of value (C) Deferred payment (D) A credit indenture

24. In a country, its national income at current prices is $24 billion and the money supply is $8 billion in 2019. The national income at base-year prices is $12 billion. What are the velocity of circulation and the price index, respectively? (A) velocity of circulation = 3, price index = 0.5 (B) velocity of circulation = 2, price index = 3 (C) velocity of circulation = 3, price index = 2 (D) velocity of circulation = 0.33, price index = 0.5 

25. Since Taiwan is not a member of the International Monetary Fund, the Central Bank of the ROC (Taiwan) tends to control financial flows and sets exchange rate target zones. Which of the following features would be most likely found in this system?  (a) Currencies would be allowed to fluctuate within bands.  (b) These bands would be very narrow, say no more than ±1%.  (c) Central parity among currencies with Taiwan Dollar would be set so as to maintain it at the “fundamental equilibrium exchange rate.”  (d) The central parity would be adjusted very infrequently.  (e) There would be “soft buffers,” with exchange rates occasionally allowed to move outside their bands. (A) (b) and (d) (B) (a), (c), and (e) (C) (a), (b), and (c) (D) (c) and (d)

26. The Boston Book Inc. has adopted a policy of increasing its annual dividend at a constant rate of 1.35% annually. The company just paid its annual dividend of $1.84 this year. What will the dividend be after nine years from now? (A) $2.10 (B) $2.08 (C) $2.05 (D) $2.02

27. You own 850 shares of the Taiwan Semiconductor Manufacturing Company’s stock valued at $53.15 per share. What is the dividend yield if your total annual dividend income is $1,256? (A) 2.78% (B) 2.67% (C) 2.13% (D) 1.83%

28. Which of the following assets is the largest asset item on a commercial bank’s balance sheet? (A) Securities (B) Cash (C) Loans (D) Bank Premises 

29. If growth is to be funded by internal expansion, the firm will need to increase both its productive capacity (by investment) and the demand for its product (by advertising). Both will require financing. Which of the following ways can be used by a firm to finance such expansion?  (a) borrowing  (b) sales of the land and properties  (c) a new issue of shares  (d) letting off more employees  (e) retained profits. (A) (a), (c), and (e) (B) (a), (b), and (d) (C) (a), (b), and (c) (D) (c), (d), and (e)