1) You are taking a trip to the US and want to change Swedish crowns (SEK) to US dollars (USD). Use the international 5 parities and explain why you choice the one being used by choice in order to solve the questions.

a) If you wish to bring 9,000 dollars, how many crowns do you need if the current exchange rate is 7.17 SEK per USD?

b) On the same journey, you want to have some pocket money in EURO. How much EUR do you get for 1000 Swedish crowns if the exchange rate is 9.71 SEK per EUR?

c) When you are coming back from the journey, you still have 35 US dollar and 5 EURO in your pocket. How many Swedish crowns do you receive if you use the following rates for the exchange: USD/SEK=7.35

EUR/SEK=9.75

d) How much money do you earn or lose on (c) compared to if you would not change these remaining amounts from the beginning.