Question

Blossom Pharma just received revenues of $3,163,300 in Australian dollars (A$). Management has the following exchange rates: A$2.69000/£ and $1.5906/£. What is the U.S. dollar value of the company’s revenues? (Round intermediate calculation to 4 decimal places, e.g. 15.2578 and final answer to the nearest whole dollar, e.g. 5,275.)

Answer 1

Revenue received in AUS $ = A $3,163,300

Calculating the Value of Revenue in US $:-

Value in US $= Revenue in AUS $*(1/Exchange Rate AUS $ per £)*(Exchange Rate US $ per £)

= A $3163,300*(1/A$2.69000 per £)*($1.5906 per £)

= A $3163,300*(£/A$2.69000)*($1.5906/£)

= $1870,462.8178

So, US $ value of company's revenue is $1870,0462.8178

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