Question

Tom is exchanging money for his trip to India. The exchange rate of US dollars to Indian rupees is 1:45.897. Tom needs 11,550 rupees. The currency exchange service he is using charges a fee of 7.25% after the exchange is made. How many US dollars will it cost Tom to get the rupees he wants? Round to the nearest dollar.
a.
$235
b.
$252
c.
$263
d.
$270



Please select the best answer from the choices provided


A
B
C
D

Answer 1

D

Work:
- He needs 11,550 rupees after a 7.25% fee, so before the fee he must get 11,550 / 0.9275 ≈ 12,456.80 rupees.
- At 1 USD = 45.897 INR, that requires 12,456.80 / 45.897 ≈ 271.32 USD, about $271.
- The closest choice given is $270 (D).