A UK traveller books a guided cycling holiday in France. The price is fixed in euros, and when the holiday is booked it is equivalent to £2,200. The exchange rate changes before the bill is paid.
| Date | Exchange rate |
|---|---|
| Holiday booked | £1 = €1.20 |
| Bill paid | £1 = €1.10 |
Calculate the increase in the sterling cost of the holiday between the two dates. Show your working.
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.