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Use the given exchange rate to convert R14 800 to US Dollars.

Economics

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1.3.1

  1. Use the given exchange rate to convert R14 800 to US Dollars.

    The exchange rate is 1=R16.531 = \text{R}16.53.

    Amount in USD=Amount in ZARExchange rate\text{Amount in USD} = \frac{\text{Amount in ZAR}}{\text{Exchange rate}} Amount in USD=R14 800R16.53/USD≈USD 895.34\text{Amount in USD} = \frac{\text{R}14\,800}{\text{R}16.53/\text{USD}} \approx \text{USD } 895.34

    Sipho's budgeted R14 800 is approximately USD 895.34\boxed{\text{USD } 895.34}.

    1.3.2

  2. Use the given exchange rate to determine the price of the laptop in South African rand.

    The laptop costs 820,andtheexchangerateis820, and the exchange rate is 1 = R16.53$.

    Price in ZAR=Price in USD×Exchange rate\text{Price in ZAR} = \text{Price in USD} \times \text{Exchange rate} Price in ZAR=USD 820×R16.53/USD=R13 554.60\text{Price in ZAR} = \text{USD } 820 \times \text{R}16.53/\text{USD} = \text{R}13\,554.60

    The price of the laptop in South African rand is R13 554.60\boxed{\text{R}13\,554.60}.

    1.3.3
    A weak rand means that one US Dollar (or any foreign currency) costs more South African Rands. Therefore, when South African consumers buy imported goods, they have to pay more Rands for the same item, making imported goods more expensive.

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