Description
This activity will introduce currency and exchange rates.
Instructions
1. Review the slideshow entitled “Exchange Rates and Currency Conversion” (Links to an external site.) which includes four short videos (about 2 minutes each) that explain the “who/what/why” of foreign currency.
2. Next, watch the instructor’s 6-minute screencast that demonstrates how to calculate exchange rates when you are traveling to another country (or when you are converting the minimum wage and salaries from your target country’s currency into US dollars, for the purposes of your personnel plan and financial estimates).
3. Now, research your target country’s exchange rate in comparison to the US dollar. Then look up the minimum wage. Pay attention because many countries have daily rates (vs. the hourly rates we use). Time permitting, you may want to find out if your target country has a free-floating exchange rate or if it pegged or fixed to another country’s currency.
Compose your initial post that addresses the following:
A) share a fact that you learned from one of the short videos
B) Demonstrate your understanding of your target country’s currency by explaining how many units of money there are in relation to the US dollar and vice-versa
C) Discuss any economic implications you foresee with regards to foreign currency risk for your international business plan.
Be sure to cite at least (1) additional outside resource (other than your textbook) that supports your ideas.
Respond to at least (2) peers initial posts and continue to support your thoughts by citing course material and outside resources.
