If a computer game costs $30 in the United States and 26 in United Kingdom, what is

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If a computer game costs $30 in the United States and £26 in United Kingdom, what is the real “computer game” exchange rate? Look up the current dollar-pound exchange rate in a newspaper or an online source, and compare the two prices. What do you conclude?

Exchange Rate
The value of one currency for the purpose of conversion to another. Exchange Rate means on any day, for purposes of determining the Dollar Equivalent of any currency other than Dollars, the rate at which such currency may be exchanged into Dollars...
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Money Banking and Financial Markets

ISBN: 978-0078021749

4th edition

Authors: Stephen Cecchetti, Kermit Schoenholtz

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