A bushel of corn cost C$3.50 in Canada. The same bushel of corn costs £1.25 in the United Kingdom. Given absolute purchasing power parity, what is the exchange rate between the
Canadian dollar and the British pound?
A) C$2.80 = £1
B) C$1 = £2.80
C) C$1 = £1.25
D) C$3.50 = £1
E) C$.3571 = £1
Correct Answer:
Verified
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