Currency Exchange Test

Which of the following is an advantage of converting cash in your home country before a planned vacation?

• A service charge of $5

• You can monitor exchange rates and attain more exchanged converted cash when the exchange rate drops low

• You pay an ATM fee

• You will not know how much of your own money you are spending

What is a disadvantage of using your Credit Card to make foreign payments?

• You do not know the current exchange rate

• You may overspend because you do not see money in front of you

• Your credit card might be “frozen” or flagged for fraud

• All of the above

When using a Debit Card to make a purchase in a foreign country, you get charged an additional transaction fee

• True

• False

To convert money into cash, you need to own the money (via cash or savings in your bank account)

• True

• False

Which currency exchange rate would yield you the greatest amount of foreign currency?

• 1 CAD = 0.64 Euro

• 1 CAD = 23 Thai Baht

• 1 CAD = 57 Indian Rupees

• 1 CAD = 12 Egyptian pounds

You would like to convert $500 CAD into Turkish Lira. The exchange rate is 1 CAD = 5.60 Turkish Lira. How many Turkish Lira will you have?

• 5600 Turkish Lira

• 2800 Turkish Lira

• 280 Turkish Lira

• 560 Turkish Lira

You would like to convert your leftover money from your trip to China. You have 1000 Chinese Yuan that you want to convert into CAD. The exchange rate is 1 CAD = 5.26 Chinese Yuan. The bank charges a service fee of $10. How many CAD will you have?

• $5250

• $180.11

• $190.11

• $5260

You have travelled to the USA and are almost out of cash! You decide to use your Debit Card to attain more cash. The ATM charges you $4 USD to use. Your bank charges you $5 CAD to make a foreign transaction. Your debit card withdrawn limit is $200 CAD. How much in bank fees will you be charged in CAD? The exchange rate is 1 CAD = 0.75 USD

• $9

• $8

• $7.75

• $6.75

You have travelled to the USA and are almost out of cash! You decide to use your Debit Card to attain more cash. The ATM charges you $4 USD to use. Your bank charges you $5 CAD to make a foreign transaction. Your debit card withdrawn limit is $200 CAD. How many USD will this allow you to attain? The exchange rate is 1 CAD = 0.75 USD

**Remember to keep in mind transaction fees and the exchange rate**

• $144 USD

• $ 192 USD

• $150 USD

• $364