A cross-border shopping trip reveals that milk sells for US$2.99 per 1-gallon jug versus C$4.99 per 4 litres in Canada. Calculate the percent difference between Canada and the United States in the exchange rate-adjusted price of milk. Use the Canadian price as the base in the comparison. Also note that 1 U.S. gallon = 3.785 litres.

If the necessary exchange rates are not given in problem, use the exchange rates in Table 3.2.

Table 3.2.

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Per C$ Per US$ Per € Per Y Per £ Canadian dollar (C$) 1.3083 1.4446 0.01084 2.0203 U.S. dollar (US$) 0.7644 1.1042 0.008286 1.5442 0.6922 0.9056 0.007504 1.3985 Euro (€) Japaense yen (V) British pound (£) 92.2509 120.6919 133.2657 186.3745 0.4950 0.6476 0.7150 0.005366