Suppose the current exchange rates between the dollar and the British pound and the dollar and the yen are $2 = £1, and $0.01 = ¥1. The exchange rate between the pound and the yen is
A) £200 = ¥1.
B) £1 = ¥1.
C) £2 = ¥1.
D) £1 = ¥200.

Question

Quizplus · Accepted Answer

Given the exchange rates $2 = £1 and $0.01 = ¥1, to find the exchange rate between the pound and the yen, we convert $2 to yen. Since $1 = ¥100 (from $0.01 = ¥1), $2 = ¥200. Therefore, £1 = ¥200.

Suppose the Current Exchange Rates Between the Dollar and the British