Multiple Choice
Suppose that a kilogram can of coffee costs about $16 in Canada. Suppose the exchange rate is 0.7 euro per dollar and that a kilogram can of coffee in Belgium costs about 5.6 euros. What is the real exchange rate?
A) 3/4 cans of Belgian coffee per can of Canadian coffee
B) 2 cans of Belgian coffee per can of Canadian coffee
C) 2.45 cans of Belgian coffee per can of Canadian coffee
D) 3.5 cans of Belgian coffee per can of Canadian coffee
Correct Answer:

Verified
Correct Answer:
Verified
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