Suppose the direct foreign exchange rates in U.S. dollars are:

1 British pound \(=\$ 1.60\)

1 Canadian dollar \(=\$ .74\)

\section*{Required}

a. What are the indirect exchange rates for the British pound and the Canadian dollar?

b. How many pounds must a British company pay to purchase goods costing \(\$ 8,000\) from a U.S. company?

c. How many U.S. dollars must be paid for a purchase costing 4,000 Canadian dollars?