Zebediah is an American traveling with a tour group in Eastern Europe. During a stop in Romania, he purchases a souvenir that is
priced at 177 Romanian leu using his credit card. If the exchange rate that day is USD to RON = 2.89, which is the best estimate of the charge Zebediah will later find on his credit card statement? a. $450
b.$147
c.$153
d.$50
<u>Explanation </u>
Zebediah has to convert his Romania leu to USD.
You are told that,
1 USD = 2.89 RON
This will mean that if you are to convert RON to USD, you divide it by 2.89.
1USD=2.89RON
177RON=(177/2.89)USD
=$61.24
The question asks what the estimate is. From the choices given, the closest answer to $61.24 is $50. </span>
since it didn't mention any withdraws from the account or any charges, its just a matter of multiplying 7.75 by 18 and adding it to the original balance.