An American good with a price tag of $89 costs 809 pesos.The exchange rate must be approximately

Question

Quizplus · Accepted Answer

To convert $89 to pesos, we need to multiply by the exchange rate. Therefore, exchange rate = 809 pesos / $89 = 9.10 pesos per dollar. Since we want to find the exchange rate in terms of pesos per dollar, we need to take the reciprocal: 1 / 9.10 = 0.10989, which is approximately $0.11 = 1 peso. Therefore, the best choice is B).

An American Good with a Price Tag of $89 Costs