You just received a gift from a friend consisting of 1,000 Thai baht, which you would like to exchange for Australian dollars (A$). You observe that exchange rate quotes for the baht are currently $.023, while quotes for the Australian dollar are $.576. How many Australian dollars should you expect to receive for your baht?
A)A$39.93
B)A$25,043.48
C)A$553.00
D)none of the above

Question

Quizplus · Accepted Answer

To convert Thai baht to Australian dollars, first convert baht to USD: 1,000 baht * $0.023 = $23. Then convert USD to AUD: $23 / $0.576 = A$39.93.

You Just Received a Gift from a Friend Consisting of 1,000