Comparing Cheap Dates Around the World. Comparison of prices or costs across different country and currency environments requires translation of the local currency into a single common currency. This is most meaningful when the comparison is for the identical or near-identical product or service across countries. Deutsche Bank has recently started publishing a comparison of cheap and evening on the town for two to eat at McDonald's, see a movie, and drink a beer. Once all costs are converted to a common currency, the U.S. dollar in this case, the cost of the date can be compared across cities relative to the base case of a cheap date in USD in New York City. After completing the table

answer the following questions.

c. If the exchange rate in Moscow on the Russian ruble (RUB) was USD 0.0493/RUB instead of USD 0.0283/RUB what would be the USD price?

d. If the exchange rate in Shanghai was CNY 6.5/USD what would be its cost in USD and relative to a cheap date in New York City?

(Click on the icon to import the table into a spreadsheet.) 9 Exchange Rate 4 Cheap Date in In USD Relative to NYC Country City 104.01 JPY 10,269.07 Kuala Lumpur 8 3 New York City 93.20 100% Source: Data drawn from The Random Walk, Mapping the World's Prices 2014, Deutsche Bank Research, 09 May 2014, Figures 30 and 32, with author calculations. 'Relative to NYC' is calculated as Cheap Date in USD/93.20 Note: The cheap date combines the local currency cost of a cab ride for two, two McDonald's hamburgers, two soft drinks, two movie tickets, and two beers. In 2013 Deutsche Bank had included sending a bouquet of roses in the date, but did not include that in the 2014 index, making the two