A ski resort hotel room in Switzerland costs SF315. A ski resort hotel room in Colorado costs $341. Assuming the slopes and hotel rooms are identical, what is the Swiss franc per U.S. dollar exchange rate?

Question

Multiple Choice

SF1.1296 per $

SF.9897 per $

SF.9607 per $

SF.9238 per $

SF1.0825 per $

Answer 1

To find the exchange rate in Swiss Francs (SF) per U.S. dollar ($), we need to set up the equation based on the cost of the hotel rooms in both currencies.

We have:

• Cost in Switzerland: SF315
• Cost in Colorado: $341

This means that 1 dollar is equivalent to SF315 / $341.

Now we will perform the division:

\[ \text{Exchange Rate} = \frac{SF315}{$341} \approx 0.9238 \]

This means that 1 U.S. dollar is approximately SF0.9238.

To express the exchange rate as Swiss Francs per U.S. dollar, we take the reciprocal:

\[ \text{Exchange Rate (SF per $)} = \frac{1}{0.9238} \approx 1.0825 \]

Thus, the exchange rate is approximately SF1.0825 per $.

The correct answer is:

SF1.0825 per $