Bonus Assignment: Exchange Rates Imagine you are planning a destination vacation
ID: 1096228 • Letter: B
Question
Bonus Assignment: Exchange Rates
Imagine you are planning a destination vacation for two weeks. The economy or country you are traveling to does not accept US currency.
You want to know how much foreign currency you will receive for $2,000 in US dollars.
Where would be the best place for this transaction to take place? For example, your bank in the States, or at your hotel, or at the airport? Explain why.
I choose the Maldives to go scuba diving, as an example.
http://www.youtube.com/watch?v=g-ATOpjPpEE Click on link to view scuba diving in the Maldives.
Go to http://www.xe.com/currencyconverter/ to see what $2000 is worth in your vacation country.
As of 8.24.14, for the Maldives (MVR) or Maldivian Rufiyaa $1 US = 15.3700 MVR, so $ 2000 US = 30,740 MVR
1 USD = 15.3700 MVR 1 MVR = 0.0650618 USD
Now go to the following sites to research the answers to the questions above.
http://www.nytimes.com/2006/06/25/travel/25prac.html?_r=0 or http://www.gocurrency.com/travelers-tips or
http://traveltips.usatoday.com/currency-exchange-rate-39878.html and http://www.state.gov/travel/
InstructionsBonus Assignment: Exchange Rates
Imagine you are planning a destination vacation for two weeks. The economy or country you are traveling to does not accept US currency.
You want to know how much foreign currency you will receive for $2,000 in US dollars.
Where would be the best place for this transaction to take place? For example, your bank in the States, or at your hotel, or at the airport? Explain why.
I choose the Maldives to go scuba diving, as an example.
http://www.youtube.com/watch?v=g-ATOpjPpEE Click on link to view scuba diving in the Maldives.
Go to http://www.xe.com/currencyconverter/ to see what $2000 is worth in your vacation country.
As of 8.24.14, for the Maldives (MVR) or Maldivian Rufiyaa $1 US = 15.3700 MVR, so $ 2000 US = 30,740 MVR
1 USD = 15.3700 MVR 1 MVR = 0.0650618 USD
Now go to the following sites to research the answers to the questions above.
http://www.nytimes.com/2006/06/25/travel/25prac.html?_r=0 or http://www.gocurrency.com/travelers-tips or
http://traveltips.usatoday.com/currency-exchange-rate-39878.html and http://www.state.gov/travel/
Explanation / Answer
as a traveller one should have an idea about for which currency you are going to be exchange you home currency.
While if you exchange your currency in hotels, it is very flexible and convinient. But the transaction cost is too high.
you can carry credit cards with you and you can use them for exchanging.
you can change the currency in local banks also, but the value is fixed by demand and supply of the currencies.