Supposed that you have just won the Irish Lottery from a recent ticket you brought and the ticket is$1million?

Question

1.So if the current exchange rate is US$1 equal 1.25 Euros, how much did you win in US dollars.

2. Suppose that the interest rate in Irish banks is 5% for a one year CD. In the USA , how many Euros would you have in 2% for one year

Answer 1

Your question is a little garbled but let's see if I can answer it. If $1 is equal to 1.25 euros, then 1,000,000 euros is equal to $800,000. If you put that money in one-year CD at 5 percent in an Irish bank, you'd have $840,000 at the end of a year. If you put 1,000,000 euros in a one-year CD in a US bank at 2 percent, you'd have 1,020,000 euros ($816,000) after a year.

Does that answer your question?