Question
riolD'ez MiguelS.R.L., a manufacturer of heavy duty machine tools nearBarcelona, ships an order to a buyer in Jordan. The purchase price is 424,000. Jordan imposes
riolD'ez MiguelS.R.L., a manufacturer of heavy duty machine tools nearBarcelona, ships an order to a buyer in Jordan. The purchase price is 424,000. Jordan imposes a 12% import duty on all products purchased from the European Union. The Jordanian importer thenre-exports the product to a Saudi Arabianimporter, but only after imposing its own resale fee of 27%. Given the following spot exchange rates on April11, 2010, what is the total cost to the Saudi Arabian importer in Saudi Arabianriyal, and what is the U.S. dollar equivalent of thatprice?(Click on the icon to import the table into aspreadsheet.)
Currency Crossrate
Spot Rate
Jordanian dinar(JD) per euro ()
0.957
Jordanian dinar(JD) per U.S. dollar($)
0.706
Saudi Arabian riyal(SRI) per U.S. dollar($)
3.824
The spotrate, Saudi Arabian riyal per Jordanian dinar is SRI
nothing
/JD. (Round to five decimalplaces.)
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