MONEY
This lesson will teach how to use
exchange rates.
What is an Exchange Rate?
In finance, the exchange rates (also known as
the foreign-exchange rate, forex rate or FX
rate) between two currencies specifies how
much one currency is worth in terms of the
other. It is the value of a foreign nation’s
currency in terms of the home nation’s
currency.
http://en.wikipedia.org/wiki/Exchange_rate
Step 1- Pick the foreign currency you
would like to exchange
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United Kingdom Pound
Mexican Pesos
Canadian Dollar
Japanese Yen
European Euro
Step 2- Figure out the Exchange Rate
If you are not given the exchange rate then you
can find it on the internet by googling:
Exchange Rate.
Step 3- Determine How much you
would like to exchange
Step 4- Plug into the following Formula
• $$$$ * Exchange Rate= Amount of Foreign
Currency
• Examples:
– $150 * .73 = 109.50 Euros
– 100 pounds = $66
You want to have at least 100 pounds
per week to spend in a four week
vacation to the United Kingdom. How
much do you need to save before your
trip?
A. $650
B. $400
Exchange Rate1 pound = $1.5
C. $600
D. $550
How many American Dollars would I
need to save up if I want to have 500
Euros when I visit Paris?
A.$650
B. $700
C. $685
D.$635
The Exchange Rate is
$1.00 = .73 Euro
I Have $300 to take on a trip to
Canada, how many Canadian Dollars
will I have to spend?
A. 300
B. 285
C. 320
D. 310
If I have 5000 pesos, how many
American Dollars would I have?
Exchange RateA.$400
1 peso = .08 Dollars
B. $425
C. $300
D.$375