If the dollar price of one South African rand (ZAR)increases from $0.076 in 1999 to $0.083 in 2003, we can say that the reciprocal exchange rate moved from:
A)$1 = ZAR 13.2 in 1999 to $1 = ZAR 12.0 in 2003.
B)$1 = ZAR 12.0 in 1999 to $1 = ZAR 13.2 in 2003.
C)$1 = ZAR 0.076 in 1999 to $1 = ZAR 0.083 in 2003.
D)ZAR 1 = $0.083 in 1999 to ZAR 1 = $0.076 in 2003.
E)$1 = ZAR 176 in 1999 to $1 = ZAR 183 in 2003.

Question

Quizplus · Accepted Answer

The reciprocal exchange rate is calculated as 1 divided by the dollar price of the rand. In 1999, it was 1/0.076 = ZAR 13.2, and in 2003, it was 1/0.083 = ZAR 12.0.

If the Dollar Price of One South African Rand (ZAR)increases