1. Mr. B goes to China and invests in a R&d stock an amount of US $100,000 when the exchange rate is Yuan 6.85 to US $1.00. The R&D stock falls flat on it face, and drops in value by 40%. Mr.B, getting a knee-jerk reaction, decides to get it off his portfolio at a time when Yuan is 7.25 to US $1.00. How much does Mr. B lose in his original currency, and what does that constitute as a proportion of his initial investment in his home currency.

Answer: $43,310.34; 43.31%

Need explanation