How many British pounds would it cost to buy a pair of American designer jeans costing $45 if the exchange rate is 1.50 dollars per British pound?
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1 mark, −0.33International EconomicsBalance of payments and exchange ratesExchange rate conceptsEasyabout 1 min
UoH 2014 Question 85: Balance of payments and exchange rates
Answer and worked solution
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Balance of payments and exchange rates has come up 120 times in 7 exams since 2007.
What this question tests
This question is on Exchange rate concepts, part of Balance of payments and exchange rates in International Economics.
Nominal, real and effective exchange rates and how they are quoted and converted.
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