Question

Problem 1-2 (algorithmic) Question Help Pokémon Go. Crystal Gomez, who lives in Mexico City (as noted in the Global Finance in Practice 1.2 in the chapter), bought 100 Pokécoins for 18 Mexican pesos (Ps or MXN). Nintendo of Japan, one of the part owners of Pokémon Go, will need to convert the Mexican pesos (Ps or MXN) into its home currency, the Japanese yen, in order to record the financial proceeds. The current spot exchange rate between the Mexican peso and the U.S. dollar is 17.77 (MXN 1.00 USD) and the current spot rate between the dollar and the Japanese yen (¥ or JPY) is 104.71 (JPY = 1.00 USD). What are the yen proceeds of Crystal Gomez's purchase? The yen proceeds of Crystal Gomez's purchase are Y Round to two decimal places.)

Answer 1

Convert pesos into Dollars and then dollars into Yen

Hence, Yen proceeds = (18/17.77)*104.71

= Yen 106.0653

i.e. Yen 106.07