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Cross exchange rate of currency

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A currency trader observes that in the spot exchange market, 1 U.S. dollar can be exchanged for 9 Mexican pesos or for 111.23 Japanese yen. What is the cross-exchange rate between the yen and the peso; that is, how many yen would you receive for every peso exchanged??

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Solution Summary

The solution explains on how to calculate the cross exchange rate among currencies.

Solution Preview

First write the equation between the dollar-Yen and dollar - peso
1 U.S. dollar can be exchanged for 9 ...

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