SOLUTION: The official rate of exchange in currency from country X to country Y is 40 : 1 while the free exchange rate is 80 :1. how much profit would a man derive if he converts 90 units o

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Question 1044429: The official rate of exchange in currency from country X to country Y is 40 : 1 while the free exchange rate is 80 :1. how much profit would a man derive if he converts 90 units of currency from country Y to the currency of country X at the free exchange rate and convert this currency back to country's Y currency at the official rate?
Answer by josmiceli(19441) About Me  (Show Source):
You can put this solution on YOUR website!
Free exchange rate:
+X%2FY+=+80%2F1+
+Y+=+90+
+X%2F90+=+80%2F1+
+X+=+7200+
-----------------
Official exchange rate:
+X%2FY+=+40%2F1+
+7200%2FY+=+40%2F1+
+Y+=+7200%2F40+
+Y+=+180+
His profit is:
+180+-+90+=+90+
90 units is his profit