Economics:
10th Edition
ISBN: 9781285859460
Author: BOYES, William
Publisher: Cengage Learning
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Question
Chapter 6, Problem 1E
To determine
(a)
The price of 1 US dollar in terms of euro, given the exchange rate 1 euro = $1.41
Expert Solution
Answer to Problem 1E
$1 = 0.71 euro
Explanation of Solution
1 euro = $1.41
So, $1 =
$1 = 0.71 euro
Economics Concept Introduction
Exchange rate − The value of one currency in terms of another currency.
To determine
(b)
The price of 1 US dollar in terms of euro, given the exchange rate 1 Chines Yuan = $0.15
Expert Solution
Answer to Problem 1E
$1 = 6.67 Chinese Yuan
Explanation of Solution
1 Chines Yuan = $0.15
So, $1 =
$1 = 6.67 Chinese Yuan
Economics Concept Introduction
Exchange rate − The value of one currency in terms of another currency.
To determine
(c)
The price of 1 US dollar in terms of euro, given the exchange rate 1 Israeli shekel = $0.28
Expert Solution
Answer to Problem 1E
$1 = 3.57 Israeli shekel
Explanation of Solution
1 Israeli shekel = $0.28
So, $1 =
$1 = 3.57 Israeli shekel
Economics Concept Introduction
Exchange rate − The value of one currency in terms of another currency.
To determine
(d)
The price of 1 US dollar in terms of euro, given the exchange rate 1 Kuwaiti dinar = $3.60
Expert Solution
Answer to Problem 1E
$1 = 0.28 Kuwaiti dinar
Explanation of Solution
1 Kuwaiti dinar = $3.60
$1 =
$1 = 0.28 Kuwaiti dinar
Economics Concept Introduction
Exchange rate − The value of one currency in terms of another currency.
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Students have asked these similar questions
In mid-2006, a British pound sterling (the monetary unit in the United Kingdom) was worth 1.4 euros (the monetary unit in the European Union). If a U.S. dollar bought 0.55 pound sterling in 2006, what was the exchange rate between the U.S. dollar and the euro?
Currency Values in
2015 and 2016
Canada (dollar)
(peso)
(yuan)
(yen)
Country Currency Percentage 2015 2016
0.82710.6892
0.0683 0.0538
0.1608 0.1522
|0.0080 0.0086|
36%
Мexico
28%
China
20%
Japan
16%
Based on the exchange rate
table, which statement is
correct?
A. The Chinese yuan
appreciated in value
between 2015 and 2016.
B. The Canadian dollar
depreciated in value
between 2015 and 2016.
C. The Japanese yen
depreciated in value
between 2015 and 2016.
D. The Mexican peso
appreciated in value
between 2015 and 2016.
when the exchange rate for the British pound changes from $1.60 per pound to $1.40 per pound, then, holding everything else constant, the pound has __________, American wheat sold in Britain becomes _________ expensive, and British cars sold in the United States become __________ expensive.
depreciated, less, less
depreciated, more, less
appreciated, more, less
appreciated, more, more
depreciated, more, more
appreciated, less, more
depreciated, less, more
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