Can you help to explain those answers?

Mercury Company is a subsidiary of Neptune Company and is located in Valparaso, Chile, where the currency is the Chilean Peso. Data on Mercury's inventory and purchases are as follows

Inventory, January 1, 20X8	500,000 Pesos
Purchases during 20X8	1,000,000 Pesos
Inventory, December 31, 20X8	400,000 Pesos

The beginning inventory was acquired during the fourth quarter of 20X7, and the ending inventory was acquired during the fourth quarter of 20X8. Purchases were made evenly over the year. Exchange rates were as follows

Fourth quarter of 20X7	1 Peso = $0.00148
January 1, 20X8	1 Peso = $0.00152
Average during 20X8	1 Peso = $0.00160
Fourth quarter of 20X8	1 Peso = $0.00162
December 31, 20X8	1 Peso = $0.00165

60. Refer the information provided above. Assuming the U.S. dollar is the functional currency, what is the amount of Mercury's cost of goods sold remeasured in U.S. dollars? Answer is D. $1,692

61. Based on the preceding information, the translation of cost of goods sold for 20X8, assuming that the Spanish peseta is the functional currency is: Answer is B. $1,760