A bank gives ${ }^4 20,000.00$ in exchange for $2.56. How much in cedis would be given in exchange for $10.50?
A. $£ 51,200.00$
B. $62,031.25$
C. $82,031.25$
D. $210,000.00
Answer (2)
The bank would give 82,031.25 cedis in exchange for $10.50 based on the calculated exchange rate. The chosen answer is C. $82,031.25.
;
Calculate the exchange rate: 2.56 20000 = 7812.5 cedis per dollar.
Multiply the exchange rate by $10.50: 7812.5 × 10.50 .
Calculate the final amount: 7812.5 × 10.50 = 82031.25 cedis.
The amount in cedis given in exchange for 10.50 i s \boxed{82031.25}$.
Explanation
Understanding the Problem We are given that a bank gives 20,000 cedis in exchange for $2.56. We need to find out how many cedis would be given in exchange for $10.50.
Finding the Exchange Rate First, we need to find the exchange rate between cedis and dollars. We can find the number of cedis per dollar by dividing the amount in cedis by the amount in dollars: 2.56 20000 .
Calculating Cedis per Dollar Now, we calculate the exchange rate: 2.56 20000 = 7812.5 cedis per dollar .
Finding Cedis for $10.50 Next, we multiply the exchange rate by $10.50 to find the amount in cedis that would be given in exchange for 10.50 : 7812.5 × 10.50 $.
Calculating the Final Amount Calculating the result: 7812.5 × 10.50 = 82031.25 cedis .
Final Answer Therefore, in exchange for $10.50, the bank would give 82,031.25 cedis. The correct answer is C.
Examples
Understanding currency exchange rates is crucial in international travel and trade. For instance, if you're planning a trip to Ghana and want to budget your expenses, knowing the cedi to dollar exchange rate helps you estimate how much local currency you'll receive for your dollars. This calculation ensures you have enough cedis for transportation, accommodation, and other expenses, making your travel budget more accurate and manageable. Similarly, businesses involved in importing or exporting goods use exchange rates to determine pricing and profitability.
