The Right Money

Current foreign exchange rates and online currency converters can be found on many websites.
In question 2 of the activity, the students are asked to calculate what percentage remains of their funds. Many calculators have a percentage button, but it is best not used. The students should get used to 5 percent as 0.05, 10 percent as 0.1, 31 percent as 0.31, 152 percent as 1.52, and so on.
In question 3, the students are asked what percentage of their original budget of has been spent. This is done after part b of question 2 is completed, using the method laid out for currency conversion at the start of the activity, and is shown in the Answers. If all the remaining New Zealand dollar values are added from each country, this amounts to $785.14 (using the exchange rates as shown in the students’ book.)
The budget for the entire trip was $800 x 8 countries = $6, 400. This means they spent $6,400 – $785.14 = $5,614.86. The ratio of money spent : budget is 5,614.97 : 6 400 or, expressed as a percentage, 5 614.86/6 400 = 0.8773
= 87.73%.
Another way of working this out is shown in the Answers.
This problem provides an ideal extension opportunity for students who understand spreadsheets. By setting up a table showing all the exchange rates with formulae to calculate the local currency equivalents, an interesting dynamic model of this scenario could be created.

Cross-curricular links

The students could use a range of tools, under close teacher supervision, to make contact with a peer in a different place or environment, in New Zealand or overseas. During this interaction, they should compare each other’s needs, wants, and aspirations and help each other to identify the steps that each might need to take to achieve their goals for the future.
Achievement Objectives
Social Studies
• demonstrate knowledge and understandings of how and why people view and use resources differently and the consequences of this (Resources and Economic Activities, level 4)
Health and Physical Education
• describe and demonstrate a range of assertive communication skills and processes that enable them to interact appropriately with other people (Relationships with Other People, level 4)

Answers to Activity

1. Australia: $710.64
Indonesia: 3749064 rupiah
Fiji: $859.36
Tonga: 970.48 pa‘anga
USA: $455.92
Britain: £284.32
France: €394.80
South Africa: 3271.20 rand
2. Exchange rates could vary, depending on when they exchanged their money. Based on the exchange rates shown in the table above, they would be:
a. Australia: $85.28 (0.12 x $710.64)
Indonesia: 674831.52 rupiah (0.18 x 3749064)
Fiji: $154.68 (0.18 x 859.36)
Tonga: 174.69 pa‘anga (0.18 x 969.68)
USA: $22.80 (0.05 x 455.92)
Britain: £14.22 (0.05 x 284.32)
France: €47.38 (0.12 x 394.80)
South Africa: 588.82 rand (0.18 x 3271.20)
b. Australia: $92.93 (85.28 ÷ 0.9177)
Indonesia: $129.00 (674831.52 ÷ 5231.42)
Fiji: $134.45 (154.68 ÷ 1.1505)
Tonga: $126.42 (174.69 ÷ 1.3818)
USA: $38.53 (22.80 ÷ 0.5918)
Britain: $38.15 (14.22 ÷ 0.3727)
France: $91.88 (47.38 ÷ 0.5157)
South Africa: $133.78 (588.82 ÷ 4.4014)
3. 87.73%, based on the percentage left in question 2.
(Your working might look like this:
Total left = $785.14
8 x 800 = $6,400
785.14
6 400
= 0.1227
= 12.27%
100% – 12.27% = 87.73%)