Suppose a u. s.-made machine costs $500 and the exchange rate is 100 yen = $1. a japanese citizen purchasing this machine would pay:

Question

Jaylin Lozano

Business

5 July, 12:41

Suppose a u. s.-made machine costs $500 and the exchange rate is 100 yen = $1. a japanese citizen purchasing this machine would pay:

+5

Answers (1)

Know the Answer?

Day · Answer 1

When a machine is in US dollar and a Japanese needs to pay in Yen, the amount should be converted into Yen.

A US Made machine cost $500

Exchange rate : 100 Yen = $1

In order to purchase the machine, a Japanese needs to pay:

= Cost of the machine in dollars * Yen per dollar

= $500 * 100

= 50,000 yen

Therefore, a machine of $500 will cost a Japanese in 50,000 Yen.