1. When the Maltese lira appreciates (holding everything else constant), then:
Maltese falcons sold in the U.S. become more expensive
American software sold in Malta becomes more expensive
Maltese pottery sold in the U.S. becomes cheaper
American toothpaste sold in Malta becomes cheaper
Both (a) and (d) are true
2. Which of the following is not true of commercial paper?
it matures in nine months (actually 270 days) or less
it is issued by only the largest and most creditworthy corporations
it is normally collateralized (secured) by U.S. Treasury bills
it normally yields a higher return than T bills