When export agreements are denominated in foreign currency and import agreements are in domestic currency, what is the impact of a dollar depreciation during the contract period?

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The dollar amount received from exports is likely to riseThe dollar cost of U.S. imports will probably remain unchangedThe trade balance is expected to improveAll of the aboveNone of the above

Explanation

A depreciation of the dollar increases the dollar value of exports priced in foreign currency, does not affect the dollar cost of imports priced in domestic currency, and consequently improves the trade balance. Therefore, all these effects occur simultaneously.