Karen has arrived in Switzerland and has a choice of exchanging her dollars at the airport foreign exchange counter (with a dollar/franc rate of 1.2543), or waiting and exchanging her dollars at the Union Bank of Switzerland in Lucerne (with a dollar/franc rate of 1.2743). Which location should she choose?
A)the Bank of Switzerland in Lucerne
B)The airport
C)Either one; the rate is the same
D)None of the above

Question

Quizplus · Accepted Answer

Karen should choose to exchange her dollars at the Union Bank of Switzerland in Lucerne, as they offer a better exchange rate of 1.2743 francs per dollar compared to the airport's rate of 1.2543 francs per dollar. This means that she will receive more francs for her dollars if she exchanges them at the bank.

Karen Has Arrived in Switzerland and Has a Choice of Exchanging