7.2 Study the currency rate table below and answer the questions that follow.

\begin{tabular}{llll}
\hline
COUNTRY & CURRENCY CODE & BBR & BSR \\
United States of America & USD & 15.90 & 16.50 \\
Great Britain & GBP & 23.57 & 23.95 \\
\hline
\end{tabular}

7.2.1 A British tourist has 2800.00 GBP and would like to change the GBP to ZAR for a holiday in South Africa. On arrival at OR Tambo International Airport, the tourist visits the foreign exchange bureau to exchange the currency. Calculate how much the tourist will receive in rands.

7.2.2 Pume, a South African, is attending a conference in the United States of America. Her company has given her R15,500.00 for any extra expenses. She goes to a foreign exchange bureau to load this money onto a preloaded foreign currency debit card. Calculate how much she will receive in US dollars on the preloaded card.



Answer :

### Part 7.2.1

A British tourist has 2800.00 GBP and wishes to convert this amount to ZAR (South African Rands). To find out how much the tourist will receive, we will use the BSR (bank selling rate) for GBP, which is 23.95.

Calculation:
1. The British tourist has 2800.00 GBP.
2. The BSR for GBP to ZAR is 23.95.
3. To convert GBP to ZAR, we multiply the amount of GBP by the BSR.

[tex]\[ \text{ZAR received} = \text{GBP amount} \times \text{BSR} \][/tex]
[tex]\[ \text{ZAR received} = 2800.00 \times 23.95 \][/tex]
[tex]\[ \text{ZAR received} = 67060.0 \][/tex]

Therefore, the British tourist will receive 67,060.00 ZAR.

### Part 7.2.2

Pume is a South African who has been given R15,500.00 for expenses in the USA. She wants to convert this amount to USD (United States Dollars). To find out how much she will receive, we use the BBR (bank buying rate) for ZAR to USD, which is 15.90.

Calculation:
1. Pume has R15,500.00.
2. The BBR for ZAR to USD is 15.90.
3. To convert ZAR to USD, we divide the amount of ZAR by the BBR.

[tex]\[ \text{USD received} = \frac{\text{ZAR amount}}{\text{BBR}} \][/tex]
[tex]\[ \text{USD received} = \frac{15500.00}{15.90} \][/tex]
[tex]\[ \text{USD received} \approx 974.8427672955975 \][/tex]

Therefore, Pume will receive approximately 974.84 USD on the preloaded card.