Use the excerpts from Royal Dutch Shell’s note disclosing information about financial instruments in Exhibit 32 to answer the following questions:

1 . Does Shell appear to take a centralized or decentralized approach to managing interest rate risk?

2 . For the year ended 31 December 2012, Shell reported pre-tax income of $50,289 million. How significant is Shell’s exposure to a 1% increase in interest rates?

3 . For the year ended 31 December 2012, what would be the impact on Shell’s pre-tax income of a 10% appreciation of the Australian dollar against the US dollar?

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EXHIBIT 32 Disclosures about Financial Instruments, Excerpt from Royal Dutch Shell's Note 21 21 Financial Instruments and Other Derivative Contracts A - Risks In the normal course of business, financial instruments of various kinds are used for the purposes of managing exposure to interest rate, currency and commodity price move- ments. Interest rate risk Most debt is raised from central borrowing programmes. Interest rate swaps and cur- rency swaps have been entered into to effectively convert most centrally issued debt to floating rate linked to dollar Libor (London Inter-Bank Offer Rate), reflecting Shell's policy to have debt principally denominated in dollars and to maintain a largely float- ing interest rate exposure profile. Consequently, Shell is exposed predominantly to dollar Libor interest rate movements. The financing of most subsidiaries is also structured on a floating-rate basis and, except in special cases, further interest rate risk management is discouraged. On the basis of the floating rate net debt position at December 31, 2012, and as- suming other factors (principally foreign exchange rates and commodity prices) re- mained constant and that no further interest rate management action were taken, an increase in interest rates of 1% would decrease pre-tax income by $27 million (2011: $146 million).