# How to convert pesos to dollars

## 7.2 Currency calculation: Determine currency amounts: Euro => foreign currency

Gold donkey: Notes on the tasks

For these tasks, amounts in euros must be converted into a foreign currency at a given exchange rate:

Find out the amounts!

1st task given: amount: 44,250.00 €, rate: 23.1817
wanted: Amount in MXN (Mexican peso)
Result: MXN
2nd task given: amount: 3,750.00 €, rate: 1.5443
3rd task given: amount: 41,500.00 €, rate: 7.3806
wanted: Amount in HRK (Croatian kuna)
Result: HRK
4th task given: amount: 33,000.00 €, rate: 1.5834
wanted: Amount in SGD (Singapore dollar)
Result: SGD
5th task given: amount: 24,250.00 €, rate: 25.777
wanted: amount in CZK (Czech koruna)
Result: CZK

### To understand

All exchange rates refer to the euro. Details like

US dollar (USD) = 1.4373
Japanese yen (JPY) = 115.20
Bulgarian lev (BGN) = 1.9558
Czech koruna (CZK) = 24,213

means that 1 euro equals \$ 1.4373 USD or JPY 115.20, and so on.

### The formula

To calculate the corresponding amount in a foreign currency, one uses the fact that the currency conversion involves simple ratio equations or rule of three problems with a straight or proportional ratio.

For example, the text of a task could be:

How much USD do you get for 10,000 euros if you get 1.4373 US dollars for 1 euro?

The relationship equation for this looks like this:

1 euro = 1.4373 USD
10,000 euros = x USD

Formula for amount in USD
 Amount in USD = Amount in euros · Exchange rate USD 1 €
Solution of the sample problem
 \$ 14,373.00 = € 10,000 · 1.4373 USD 1 €

Since the reference value for the conversion is always 1 euro, it can be omitted because it does not change the result mathematically, so that you can remember as a formula:

Amount in foreign currency = amount in euros · exchange rate

In the detailed notation, however, it becomes clear how the unit of the calculation result comes about.

If necessary, round the result to two places!