The AUD/$ spot exchange rate is AUD1.60/$ and the SF/$ is SF1.25/$.The AUD/SF cross exchange rate is ________.

Name: The AUD/$ spot exchange rate is AUD1.60/$ and the SF/$ is SF1.25/$.The AUD/SF cross exchange rate is ________.
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Question

Quizplus · Accepted Answer

To find the AUD/SF exchange rate, we need to multiply the AUD/$ exchange rate by the inverse of the SF/$ exchange rate. In other words,
AUD/SF = AUD/$ x (1/SF/$)
AUD/SF = 1.60 x (1/1.25)
AUD/SF = 1.28
Therefore, the AUD/SF cross exchange rate is 1.28. The answer is C.

The AUD/$ Spot Exchange Rate Is AUD1