US Dollar Chart

Exchange Rates?

Rates are one of the math concepts that we often use in our daily lives. Have you heard about the exchange rates? How these rates are used? Can you provide an example?

Public Comments

1. The exchange rate is the price of one currency in terms of another currency example: $10 USD is equal to 7.1530 Euros
2. what do you mean HOW are exchange rates USED??? Exchange rates are used to figure out how much of one currency you get for another currency!!!! So for example if the Candian dollar is trading for 97 cents US I know that I will get 97 cents US for every Canadian Dollar I have, and also, I know at the same time that by taking the inverse, or 1/.97, I will get 1.03 Canadian for every US dollar I have. Exchange rates are used continually by just about every business that deal in international trade, or for anyone travelling, or anyone buying foreign invetments. Its critical for people importing or exporting products. Lets say that I am In Canada (which I am). About 6 year ago, the Canadian Dollar was trading at about 63 cents US and the USD dollar was trading at about 1.60 Canadian. Products cost a fortune for Canadians to buy from the US. On the Other hand, US people could buy stuff dirt cheap from Canada. Now, the situation has almost completely reversed!! Right now, the US dollar is at all time lows, or close to them versus the British Pound, Canadian Dollar and Euro..This should encourage a lot of travel to the US and allow US exporters to sell more products.