Using Exchange Rates, It Is Possible to Price-Compare in Different

question 92

Multiple Choice

Using exchange rates, it is possible to price-compare in different nations. If an iPod costs $90 in the United States and €45 in France, in which nation would you get the better deal when the dollar-euro exchange rate is $2/€?

• A) The iPod would be cheaper in France.
• B) The iPod would be cheaper in the United States.
• C) The iPod would cost the same in both countries.
• D) From the information provided, it is impossible to answer this question.