Suppose that Nevada Co., a US-based MNC, makes regular, monthly purchases of materials from a German supplier named Spicurity. These regular payments are typically in the amount of 500,000 euros. Last month the exchange rate was $1.79 per euro. Nevada Co. only has cash reserves in dollars, while Spicurity only has cash reserves in euros. Suppose both companies use the same bank.

In order to conduct this transaction last month, Nevada Co. required $ to pay for the materials. Thus, the bank handling the transaction reduced Nevadas account by this amount, denominated in_____ . The bank then converted this amount to _____and credited it to Spicuritys account.