Answer:
173,333.33
Explanation:
Lumpsum + Appraisal = Total Spent
500,000 + 20,000 = 520,000
Land + Building + Equipment = Total Fair Value
100,000 + 200,000 + 300,000 = 600,000
Building Costs:
Fair Value Building / Total Fair Value = % of the building cost to apply to the total spent x Total Spent
200,000 /600,000 = .3333 x 520,000 = 173,3333.33
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The system described above refers to the Fixed Exchange Rate System.
<h3>What is the fixed exchange rate system?</h3>
The fixed exchange rate system is a term that refers to the exchange regime of a monetary unit whose value is adjusted according to the value of another reference currency such as the Dollar or the Euro.
According to the above, the currencies of different countries gain or lose value according to their change with respect to the reference currencies.
This system has become widespread in the world with the aim of facilitating trade and investment between countries with the reference currencies.
Learn more about currency in: brainly.com/question/13684639
Best bet would be Law of Supply. *
Considering you did not give any options.
