Converting different currencies - Intermediate
Solving real problems with exchange rates may involve multiple steps. Make sure you write down each sum so that you can follow the calculation through to the end.
Question
Alison needs at least £700 in Thai baht for her holiday to Thailand.
When she goes to the bank she is told the exchange rate is £1 = 52.66 Thai baht. She also finds that the lowest Thai baht note the bank will give her is 50.
What is the minimum amount Alison needs to buy to ensure that she has at least £700 worth of Thai baht and how much does she pay for them?
- Convert £700 into Thai baht by multiplying by the exchange rate: £700 × 52.66 = 36,862 Thai baht
- Alison needs at least 36,862, this means she can’t have any less. As the smallest note the bank has is 50 Thai baht - round up to the nearest 50. Alison will need 36,900 Thai baht
- Convert 36,900 Thai baht to British pounds to find out how much this will cost (divide by the exchange rate). 36,900 ÷ 52.66 = 700.72161
- Round the final answer to two decimal places and write your answer clearly
Alison will need 36,900 Thai baht which will cost her £700.72.
Question
Bryce has saved £300 for his holiday to Mexico.
When he goes to the bank he finds that the smallest note they have is 100 Mexican peso.
The exchange rate is £1 = 24.40 Mexican peso.
How many Mexican peso can Bryce buy and how much will this cost him in British pounds?
- Convert £300 into Mexican peso by multiplying by the exchange rate: £300 × 24.40 = 7,320 Mexican peso
- Bryce only has £300, this means he can’t have any more. As the smallest note is 100 Mexican peso – round down to the nearest 100. Bryce will need 7,300 Mexican peso
- Convert 7,300 Mexican peso to British pounds to find out how much this will cost (divide by the exchange rate) 7,300 ÷ 24.40 = 299.18032
- Round the final answer to two decimal places and write your answer clearly
Bryce will need 7,300 Mexican peso which will cost him £299.18.
Question
Ceri went on holiday to Germany and bought a camera for €320.
The exchange rate at the time he bought the camera was €1 = £0.72.
Jessica went to Morocco and bought the same camera for 3,018 Moroccan dirham.
The exchange rate at the time was £1 = 15.09 Moroccan dirham.
Find out who purchased the camera for the lower price and write down the differenceThe answer to the subtraction of two numbers. For example, the difference between 8 and 2 is 6 as 8 - 2 = 6. in the prices.
Ceri’s camera
Exchange rate: €1 = £0.72.
Using this exchange rate, multiply euros by 0.72 to calculate pounds:
€320 × 0.72 = £230.40.
Jessica’s camera
Exchange rate: £1 = 15.09 Moroccan dirham.
Using this exchange rate, divide dirham by 15.09 to calculate pounds:
3,018 ÷ 15.09 = £200.
- Jessica purchased her camera for the lower price
- The difference in price was £30.40
Question
Julie exchanged £200 for 1,100 Brazilian real.
Complete the following statement, giving your answer to two decimal places.
Exchange rate: £1 buys ___ Brazilian real.
£1 buys 5.50 Brazilian real.
You can treat this question like a ratio.
£200 ÷ 200 = £1.
1,100 Brazilian real ÷ 200 = 5.50 Brazilian real.
