A UK television production company has agreed to pay a Swedish studio 325,000 Swedish kronor for filming facilities. When the deal was agreed, £1 bought 12.50 Swedish kronor. On the day the company pays, £1 buys 13.00 Swedish kronor.
How much less does the payment cost the company in pounds than it would have cost when the deal was agreed?
£25,000
£26,000
£162,500
£1,000
53 exam-style questions on OCR GCSE Economics 4.3 Exchange rates, covering 4.3.1 Draw how exchange rates are determined, 4.3.2 Analyse how exchange rates are determined, 4.3.3 Calculate currency conversion, 4.3.4 Analyse exchange rate data, and 4.3.5 Effect of exchange rate changes. Each one has a worked solution and a mark scheme showing where the marks go.