If a Certain Automotive Part Can Be Purchased in Mexico

question 31

Multiple Choice

If a certain automotive part can be purchased in Mexico for 61 pesos or in Canada for $6.25 and if the nominal exchange rate is 11 pesos per Canadian dollar,then the automotive part

• A) is more expensive in Mexico.
• B) is more expensive in Canada.
• C) is less expensive in Canada.
• D) costs more in Mexico.
• E) costs the same in Mexico and Canada.

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Definitions:

Zero-Factor Property

The rule stating if a product of two or more factors is zero, at least one of the factors must be zero.

Equation

A pronouncement in mathematics asserting the equivalence of two expressions.

Factored Form

An expression represented as the product of its factors.

Constructed Figure

A geometric shape that is drawn or created using specific rules or tools.