On January 1 st, you make plans to travel to Switzerland the following summer. The direct quote for Swiss francs is $0.30. Since it will be a short trip, you believe $3000 in spending money will be sufficient. On June 1 st, the direct quote for Swiss francs is $0.40. As a result, How much Swiss francs will buy your $3000.

Question

Rohan Hampton

Business

29 September, 02:51

On January 1 st, you make plans to travel to Switzerland the following summer. The direct quote for Swiss francs is $0.30. Since it will be a short trip, you believe $3000 in spending money will be sufficient. On June 1 st, the direct quote for Swiss francs is $0.40. As a result, How much Swiss francs will buy your $3000.

+4

Answers (2)

Know the Answer?

Persy · Answer 1

On January 1st, the $3,000 could buy 10,000 Swiss francs (3,000/0.3).

On June 1st, the $3,000 would buy 7,500 Swiss francs (3,000/0.4).

Explanation:

On January 1st, each Swiss francs could only purchase $0.30 while on June 1st, each Swiss francs could purchase $0.40.

These show that the Swiss francs had appreciated in value relative to the US Dollars with a positive change of 33%. Therefore, the dollar had weakened against the Swiss francs by the same rate.

Joey · Answer 2

7500 Swiss francs

Explanation:

Working

January 1, Swiss francs = $0.3

$3000 will by 3000/0.3 = 10,000 Swiss francs.

June 1, Swiss Francs = $ 0.4

$3000 will buy 7500 Swiss francs.

This also mean that in January 3.33 Swiss francs will buy 1 $

In June 1, 2.5 Swiss francs will buy one dollar.

This shows that Swiss francs has appreciated in value against dollar over the months