Question

Bill and Gwyll are going on holiday to the USA.

Bill changes £450 from his bank and gets $729.
Gwyll changes £500 from another bank and gets $780.
a) What exchange rate did Bill get from his bank? £1=$
b) What exchange rate did Gwyll get from his bank? £1=$
c) Who got the better deal?

Answer 1

a) £1=$1.62

b) £1=$1.52

c) Bill received the better deal.

Explanation:

To find the exchange rate from pounds to dollars, we need to see what was multiplied to the pound to make it into a dollar. We can do this via division.

a) $729/£450 = 1.62 | £1=$1.62

b) $780/£500 = 1.52 | £1=$1.52

c) Bill received the better deal, as he earned more dollars than Gwyll for £1.