Suppose the interest rates on bank deposits are 1% in Japan and 3% in Australia. Japan is the Home country and Australia is the Foreign country. As Eyen/A$ increases, a fixed amount of yen can be converted into a amount of Australian dollar, therefore the rate of return on a foreign deposit at a given level of expected future exchange rate.

cognitive overload: having a lot on your mind impairs decision-making and tends to result in the simplest, but not necessarily best, option being selected.

empathy gaps: overlooking how you might feel in a different situation can result in unnecessary purchases, such as overbuying when shopping for food on an empty stomach.

optimism and overconfidence: wearing rose-tinted glasses and having unrealistic expectations about the future can affect money management and leave you unprepared for a change in circumstance.

instant gratification: seeking instant gratification drives impulsive spending and can undermine long-term planning and savings.

harmful habits: automatic or mindless behaviour can amplify a poor financial decision as it becomes a recurring event.

social norms: we are heavily influenced by the actions of others; while this can be in certain circumstances, it also contributes to the pressure to keep up with the joneses through conspicuous consumption.

answer; ///usually the ( irs ) selects returns that are the most likely have errors,based on complex criteria;