Question

In at least two complete sentences, explain why a traveler will need to visit a currency exchange. Include how exchange rates are determined.

You have $100 in the United States. Imagine you are visiting India in 2020 to check out new products. How much would your $100 be in Indian rupees? (Be sure to show your work.)
You read about a new invention in Canada. You consider traveling there instead. In 2020, how much would your $100 be in Canadian dollars? (Be sure to show your work.)
In 2020, a computer part costs 100 CAD in Canada, and the same part costs 5600 INR in India. Should you travel to Canada or to India to buy the part? Explain your answer
You buy certain supplies in South Africa. Would it have been less expensive to buy these supplies in 2013 or in 2020? Explain your answer in complete sentences.
Save your work in one file to turn in. Use the name "Currency_Analysis_your name" for your file to turn in.

Answer 1

To solve the problem we will convert currencies and then solve the Problems.

Given to us

TPA, 1 USD = 1 TPA

CSW, 1 USD = 20 CSW

NRD, 1 USD = 5 NRD

Why use currency exchange?

1.) A traveler needs to visit a currency exchange to exchange his currency to the local currency of the country in which he is staying.

2.) We know that 1 USD = 20 CSW,

therefore, 100 USD = 20 x 100 = 2000 CSW.

Thus, your $100 will be equal to 2000 CSW dollars.

3.) We know that 1 TPA = 1 USD,

therefore, 100 USD = 100 x 1 = 100 TPA

Thus, your $100 will be equal to 100 TPA.

What is the cost of the computer part?

4.) We know that 1 USD = 1 TPA, while 1 USD = 20 CSW,

Given the cost of the computer part,

it will be 200 TPA = 200 USD,

it will be 1000 CSW = 50 USD,

Thus, the computer part will be cheaper, by 150 USD.

5.) As it is given that 1 USD = 3 NRD,

while now that 1 USD cost 5 NRD, therefore, now the same product will be cheaper.

For, example a product costing 300 NRD would be 100 USD last year but would cost only 60 USD now.

Answer 2

A traveler will need to visit a currency exchange because in different countries different currency is used for bought different items. so the traveler has to change their currency to that currency in which country he is travelling.

Step-by-step explanation:

If a traveler has 100 US dollar and he travelling in India, he gets Rs 7554 in exchange of 100 US dollar, while if a traveler has 100 US dollar and he travelling in Canada, he gets 140 Canadian dollars in exchange of 100 US dollar. The cost of computer parts is same but only change that occurs due to the value of currency differences between different countries. If you buy computer parts, you will get it at the same price either you travel to Canada or to India to buy the part. In 2013, the products are less expensive due to high currency value which is decrease in 2020 so the price of products increases in 2020.