1. A U. S. student studied abroad in Zürich, Switzerland. When he arrived in Zürich in January 2005, he exchanged $20,000 for Swiss francs when the exchange rate of USD/CHF (U. S. dollars to Swiss francs) was 1.15. When he left Zürich in January 2006, the exchange rate was 1.30. If he had started his year abroad in January 2006 instead of January 2005, would he have gotten more or fewer francs? What is the exact difference?

Yes

With an extra 3000CHF

Step-by-step explanation:

In year 2005, the exchange rate was 1$ = 1.15CHF

The student came in with $20,000.

The amount he had in CHF(swiss franc) = ?

$1 = 1.15C

$20,000 = x CHF

X = (20000 × 1.15) / 1

X = 23,000CHF

When he came to Zürich in 2005, he has 23,000 swiss franc.

But the exchange rates changed in 2006 to C1.30 against the dollar.

$1 = 1.30CHF

$20,000 = xCHF

X = 26,000CHF

In 2006, he would've had 26,000CHF.

The difference between what he would've had in 2006 against 2005 is

26,000CHF - 23,000CHF = 3000CHF

He would've had an extra 3000CHF if he came in the year 2006.

step-by-step explanation:

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