Question

A bottle of Chivas Regal, a scotch whiskey made in the U.K., costs 30₤. What is the price in dollars when the exchange rate, E_$₤ = 1.3?   When E_$₤ = 1.4?

b. A bottle of Johnnie Walker, a Kentucky bourbon, costs $20. What is the cost in pounds when E_$₤ = 1.3?   When E_$₤ = 1.4?

Answer 1

ANSWER:

1) Chivas regal:

a) 1 pound = $1.3

cost of bottle = 30 pounds

cost in dollars = cost of bottle * exchange rate = 30 * 1.3 = $39

b) 1 pound = $1.4

cost of bottle = 30 pounds

cost in dollars = cost of bottle * exchange rate = 30 * 1.4 = $42

2) Johnnie walker:

a) 1 pound = $1.3

cost of bottle = $20

cost in dollars = cost of bottle / exchange rate = 20 / 1.3 = 15.38 pounds

b) 1 pound = $1.4

cost of bottle = $20

cost in dollars = cost of bottle / exchange rate = 20 / 1.4 = 14.28 pounds