Suppose a Mobile Phone Cost $350 in Canada And $\times$ 2,500 in China

question 120

Short Answer

Suppose a mobile phone cost $350 in Canada and $\times$ 2,500 in China.If the nominal exchange rate is $1 Canadian dollar is equal to $\times$ 7.75.
a)What is the value of the real exchange rate?
b)In which country is the mobile phone cheaper?

---

Definitions:

Project Analyst

A professional who evaluates and reviews the performance, cost, and timeline of projects to ensure success and efficiency.

Near-Site Training

Training conducted at a location close to the workplace or within a short distance, facilitating easy access for participants.

Bona Fide Occupational Qualification

A Bona Fide Occupational Qualification (BFOQ) is a legal term that allows employers to hire individuals based on attributes normally considered discrimination if they are reasonably necessary to the normal operation of a particular business.

Equal Employment Opportunity Commission

A federal agency in the United States charged with enforcing laws that prohibit discrimination in employment.