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Answer to Question #131984 in Macroeconomics for Mcedisi
Question #131984
A South African importer buys auto parts from a German manufacturer, and is invoiced for €5 000.00. Calculate the cost in rands if the exchange rate is R10.43 to 1€?
Expert's answer
Solution
Exchange rate: 1€ = R10.43
€5 000.00 = ?
Cost in rands = "(\u20ac5 000.00 * R10.43)\/ 1\u20ac"
Cost in rands = "R5 000.00 * R10.43"
Cost in rands = R 52,150
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