If $1 U.S.buys 90 Japanese yen and a computer that costs $800 U.S.is priced at 90,000 Japanese yen,then the computer in Japan is:

Question

Quizplus · Accepted Answer

To find out if the computer is overpriced or underpriced in Japan, we need to convert the price from Japanese yen to U.S. dollars.

Since 1 U.S. dollar buys 90 Japanese yen, we can find out how many U.S. dollars 90,000 yen is worth by dividing by 90:

90,000 yen ÷ 90 = $1000

So the computer in Japan is priced at $1000 U.S. dollars.

Since the computer costs $800 in the U.S., we can see that the computer is overpriced in Japan by:

$1000 - $800 = $200

To find out how many Japanese yen this is, we need to convert $200 U.S. dollars to Japanese yen:

$200 × 90 = 18,000 yen

So the computer in Japan is overpriced by 18,000 Japanese yen.

If $1 USBuys 90 Japanese Yen and a Computer That Costs $800