er 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 dates an 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 US dollar in this case, the cost of the date can be compared across the relative to the base case of a cheap date in USD in New York City Allee completing the table answer the following questions a. Which city in the table is truly the cheapest date? b. Which city in the table is the most expensive-cheap date? c. If the exchange rate in Moscow on the Russian ruble (RUB) was USD 0 05047 RUB, instead of USD 00283/RUB, what would be the USD price? Ope d. If the exchange rate in Shanghai was CNY 659/USD, what would be its cost in USD and relative to a cheap date in New York City? une completing the la a. Which city in the table is truly the cheapest date? b. Which city in the table is the most expensive-cheap date? c. If the exchange rate in Moscow on the Russian ruble (RUB) was USD 0.0504/RUB, instead of USD 0.0283/RUB, what would be the USD d. If the exchange rate in Shanghai was CNY 6.59/USD, what would be its cost in USD and relative to a cheap date in New York City? a. Which city in the table is truly the cheapest date? (Select the best choice below.) A. The truly cheapest cheap date could be had in Mumbai, India, at only 25% of what it costs in New York City. O B. The truly cheapest cheap date could be had in Manila, Phillipines, at only 25% of what it costs in New York City. O c. The truly cheapest cheap date could be had in Jakarta, Indonesia, at only 25% of what it costs in New York City OD. The truly cheapest cheap date could be had in Mexico City, Mexico, at only 25% of what it costs in New York City. b. Which city in the table is the most expensive-cheap date? (Select the best choice below.) O A. The most expensive-cheap date would be Berlin at 130% of the cost in New York City OB. The most expensive-cheap date would be London at 130% of the cost in New York City OC. The most expensive-cheap date would be Paris at 130% of the cost in New York City OD. The most expensive-cheap date would be Sydney at 130% of the cost in New York City c. If the exchange rate in Moscow on the Russian ruble (RUB) was USD 0.0504 / RUB, instead of USD 0.0283/RUB, what would be the USD price? The cheap date in Moscow is USD (Round to the nearest cent.) d. If the exchange rate in Shanghai was CNY 6.59 /USD, what would be its cost in USD and relative to a cheap date in New York City? The cheap date in Shanghai is USD (Round to the nearest cent) The cheap date in Shanghai relative to the cheap date in New York City is % (Round to three decimal places) (Click on the icon to import the table into a spreadsheet.) so ar Cheap Date in In USD 104 01 Relative to NYC 112% -ch osd Country Australia Brazil Canada China France Germany Hong Kong India Indonesia Japan Malaysia Mexico New Zealand City Sydney Rio de Janeiro Ottawa Shanghai Paris Berlin Hong Kong Mumbai Jakarta Tokyo Kuala Lumpur Mexico City Auckland Cheap Date in Local Currency AUD 111.96 BRL 135.43 CAD 78.33 CNY 373.87 EUR 7557 EUR 76 49 HKD 467 03 INR 1,379 64 IDR 314.700 JPY 10,269.07 MYR 117.85 MXN 423 93 NZD 11152 Exchange Rate Quote USD = 1 AUD USD = 1 BRL USD = 1 CAD USD = 1 CNY USD = 1 EUR USD = 1 EUR USD = 1 HKD USD - 1 INR USD 1 |DR USD = 1 JPY USD - 1 MYR USD = 1 MXN USD = 1 NZD Exchange Rate 7 April 2014 0.9290 0.4363 0.9106 0.1619 13702 13702 0.1289 0.0167 0.0001 0.0097 03048 0.0769 0.8595 Wis Shar halls ghaird - X Data Table TVING UUTUT TUIG WT.JI304 UJDTH Indonesia Jakarta IDR 314,700 USD = 1 IDR 0.0001 Japan Tokyo JPY 10,269.07 USD = 1 JPY 0 0097 Malaysia Kuala Lumpur MYR 117.85 USD = 1 MYR 0.3048 Mexico Mexico City MXN 423.93 USD = 1 MXN 0.0769 New Zealand Auckland NZD 111.52 USD = 1 NZD 0 8595 Phillipines Manila PHP 1,182.88 USD = 1 PHP 0 0222 Russia Moscow RUB 2.451.24 USD 1 RUB 0.0283 Singapore Singapore SGD 77.89 USD 1 SGD 0.7939 South Africa Cape Town ZAR 388 58 USD = 1 ZAR 0.0946 United Kingdom London GBP 73 29 USD = 1 GBP 16566 United States New York City USD 93.20 1 USD 1.0000 93 20 100% United States San Francisco USD 88.72 1 USD 10000 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/9320 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 years not directly comparable