1.Exhibit 1 shows the exchange rate values of several major world currencies relative to the U.S dollar as they were on November 24,2011. The first column shows the number of units of the foreign currency that could be obtain by trading in one U.S dollar. The second column show the number of U.S dollars that could be obtained by trading in one unit of the foreign currency. (Note: These are simply the reciprocals of the data in the first column.)

EXHIBIT 1

FOREIGN CURRENCYUNIT OF THE FOREIGN CURRENCYU.S DOLLARS PER UNIT

PER U.S DOLLAROF FOREIGN CURRENCY

English pound0.6441.5539

European euro0.7481.3373

Canadian dollar1.0440.4577

Mexican peso14.0770.071

Japanese yen77.0730.013

a.If a Mexican citizen wished to purchase a Ford automobile costing 30,000 U.S dollars, how much would it cost in Mexican pesos?

b.If a U.S citizen wishes to purchase a bottle of French wine costing 80 euros, how much would it cost in U.S. dollars?

c.If a Canadian citizen wished to purchase a Japanese automobile costing 2,500,000 Japanese yen. How much would it cost in Canadian dollars? (Hint: With the data given, you must first convert from Japanese yen to U.S dollars, then convert U.S dollars to Canadian dollars.)