Question

If the price of gold at the morning fixing in London was $4730 per lb, what would a kilogram of gold have cost in £ (pounds)? (Assume an exchange rate of $1.00 = £ 0.611)

Answer 1

The cost of a kilogram of gold would be approximately £ 6375.54 given the price per pound of $4730 and the exchange rate of $1.00 equals £ 0.611.

Step-by-step explanation:

To calculate the price of a kilogram of gold based on the given price per pound and the exchange rate, we will first convert the price from pounds to kilograms and then from dollars to pounds sterling.

There are approximately 2.20462 pounds in one kilogram. If the price of gold is $4730 per lb, the price per kilogram in dollars would be:

4730 dollars/lb × 2.20462 lb/kg = 10434.37 dollars/kg.

Next, we use the given exchange rate of $1.00 = £ 0.611 to convert dollars to pounds sterling:

10434.37 dollars/kg × 0.611 pounds/dollar = £ 6375.54/kg.

Therefore, the cost of a kilogram of gold in pounds sterling based on the given morning fixing and exchange rate would be approximately £ 6375.54.

Answer 2

1 kilogram of gold have a cost of 6358 £

Step-by-step explanation:

1 kilogram = 2.2 lb

So if 1 lb costs 4730 $

then 2.2 lb costs X

X = (2.2 × 4730) / 1 = 10406 $

Now we exchange dollars $ in pounds £:

if 1 $ is equal to 0.611 £

then 10406 $ is equal to X £

X = (10406 / 0.611) / 1 = 6358 £