Foreign exchange and commodity prices. ?? While traveling in the following? coun
ID: 2657858 • Letter: F
Question
Foreign exchange and commodity prices.??While traveling in the following? countries, you see? twenty-ounce plastic bottles of? Coca-Cola. You know the price in the United States for a Coke is
?$0.94, but the countries have the following? prices:?
What is the implied exchange rate for U.S. dollars and these four? currencies?
What is the implied? direct, or? American, exchange rate between the U.S. dollar? ($) and Canadian dollar? (C$)????(Round to four decimal? places.)
What is the implied? indirect, or? European, exchange rate between the Canadian dollar? (C$) and U.S. dollar? ($)?
per? $???(Round to four decimal? places.)
What is the implied? direct, or? American, exchange rate between the U.S. dollar? ($) and Japanese yen? ?(Round to four decimal? places.)
What is the implied? indirect, or? European, exchange rate between the Japanese yen (yen¥?)
and U.S. dollar? ($)? ???(Round to four decimal? places.)
What is the implied? direct, or? American, exchange rate between the U.S. dollar? ($) and British pound sterling
?(Round to four decimal? places.)
What is the implied? indirect, or? European, exchange rate between the British pound sterling
per? $ ? (Round to four decimal? places.)
What is the implied? direct, or? American, exchange rate between the U.S. dollar? ($) and euro? ?(Round to four decimal? places.)
What is the implied? indirect, or? European, exchange rate between the euro
and U.S. dollar? ($)?
?Canada:??1.45?Japan:???¥141
?England:??£0.59
European? Union:?€0.84
Explanation / Answer
calculation: canada 0.6483 $/C$ ROUND(0.94/1.45,4) 1.5426 c$/$ ROUND(1.45/0.94,4) Japan 0.0067 $/yen ROUND(0.94/141,4) 150 yen/$ ROUND(141/0.94,4) England 1.5932 $/£ ROUND(0.94/0.59,4) 0.6277 £/$ ROUND(0.59/0.94,4) European union 1.119 $/€ ROUND(0.94/0.84,4) 0.8936 €/$ ROUND(0.84/0.94,4)