If the exchange rate is $1.50 per euro,the Canadian price level is 180,and the eurozone price level is 120,then the real exchange rate per euro is:

Question

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The real exchange rate is the ratio of the price of a set of goods in one country to the price of the same set of goods in another country, adjusted for the exchange rate. In this case, the Canadian price level is 180 and the eurozone price level is 120, so the real exchange rate is 180/120 = 1.5. However, the exchange rate is $1.50 per euro, so the real exchange rate per euro is 1.5 * $1.50 = $2.25.

If the Exchange Rate Is $1