Unit 6 Project Assessment

Exchange Rates

You and your partner have decided to have lunch at the Mall of the World. At the mall there is food from five different countries. They all price their food in foreign currency prices. First you need to decide what you want to eat. Next, convert the foreign currency prices into dollars. You may use calculators, but no currency convertors. You must make at least 5 purchases, and 1 purchase needs to be made from each country. The table below is the current exchange rates for this assessment:

1 USD = 1.8 AUD

1USD = 8.0 CYN

1USD = .90 EUR

1USD = 10.2 MXN

1USD = 4.6 EGP

USD = US Dollar

AUD = Australian Dollar

CYN = Chinese Yuan

EUR = European Euro

MXN = Mexican Peso

EGP = Egyptian pound

Now exchange rates have changed to the following:

1 USD = 2.2 AUD

1USD = 7.8 CYN

1USD = .95 EUR

1USD = 9.6 MXN

1USD = 4.2 EGP

USD = US Dollar

AUD = Australian Dollar

CYN = Chinese Yuan

EUR = European Euro

MXN = Mexican Peso

EGP = Egyptian pound

Has the dollar appreciated or depreciated versus the following currencies: (Circle one)

Australian Dollar Appreciated Depreciated

Chinese Yuan Appreciated Depreciated

European Euro Appreciated Depreciated

Mexican Peso Appreciated Depreciated

Egyptian Pound Appreciated Depreciated

Based on the change in exchange rates, would it be cheaper or more expensive for an American tourist to travel to the following countries: (Circle One)

Australia Cheaper More Expensive

China Cheaper More Expensive

Europe Cheaper More Expensive

Mexico Cheaper More Expensive

Egypt Cheaper More Expensive

Choose 2 currencies from above and explain 1 reason why the currency exchange rate changes occurred. In other words why the dollar appreciate or depreciated versus the foreign currency. Be sure to discuss why there were more or less demand for dollars and why.

Currency #1 ______

Explanation:

Currency #2 ____

Explanation: