Name :

Surname:
 Foreign exchange
• Interpret a currency rate sheet from a foreign exchange bureau.
• • Convert the major currencies to South African rand.
• • Convert South African rand into a selected currency to understand
currency difference.
• (Calculators may be used for calculations – round off to two decimals,
e.g. R34, 56.)
 FOREIGN EXCHANGE CONVERTING CURRENCIES.

• Every country’s currency has a value when compared to the currency

of another country. For instance, when comparing the currencies of
the United States of America and South Africa, one dollar can be
worth R 18.19. Put another way, you need R18.19 for 1 USD.
• This is called the exchange rate or rate of exchange.
• The exchange rate will determine the amount of foreign currency you
can get for your local currency.
• The exchange rates are different for every currency and can change
on a daily basis.
 Currency rate sheet or currency rate page shows how
currencies differ
South African Rand
Foreign Currencies 1 ZAR IN ZAR
American dollar 0.055 18.19
Argentine peso 3.58 0.2795
Australian dollar 0.0883 11.33
Brazilian real 0.282 3.55
British pound 0.0444 22.53
Bulgarian lev 0.099 10.10
Canadian dollar 0.0771 12.98
Chilean peso 46.40 0.0216
Chinese yuan 0.388 2.575
Croatian kuna 0.386 2.59
Danish krone 0.378 2.646
Hong Kong dollar 0.426 2.347
Hungarian forint 18.20 0.0551
Iceland krona 7.89 0.1267
The currency rates in the table above should be interpreted as follows:

• To get the value of the British pound in rand, consult the column
headed IN ZAR.
• This tells you that one British pound was worth R22.53 on that day.
(Round total of to two decimal points)
• Similarly, to get the value of one rand in British pound, consult the
column headed 1 ZAR. This tells you that one rand was worth GBP £
0.04 on that day. (Round total off to two decimal points.)
• The values of other currencies are found using the same method.
•
 The major currencies of the world showing the code, symbol and value in rand.

CURRENCY CODE SYMBOL VALUE IN RAND

British pond or GBP £ 22.53
Sterling
Japanese yen JPY ¥ 0.17
United States USD $ 18.19
dollar
Australian dollar AUD $ 11.33
European Union EUR € 19.75
euro

Converting major currencies to South African rand.

 To convert foreign currencies to rand, take the amount of foreign currency, and MULTIPLY that number by the
rate of exchange for that currency.
 The number you get is the amount of rand that the foreign currency is worth.
 Example: What is the value in rand, of EUR€1500.00?
o Method: MULTIPLY 1500.00 by the rate of exchange for the EURO which is 19.75.
o Result: 1 500.00 x 19.75 = 29 625.00 rand. (Name the currency)
o Answer: R29 625.00 or 29 625.00 rand. (Total should always be rounded off to two decimal places.)
 Converting rand to foreign currencies.

• To convert rand to foreign currencies, take the value of rand and DIVIDE that
number by the rate of exchange for that currency.
• The number you get is the amount of foreign currency that the rand is worth.
• Example: What is the value in rand, of R15 750.00 in American dollars?
• Method: DIVIDE 15 750.00 by the exchange rate for American dollar, which is
18.19
• Result: 15 750.00 ÷ 18.19 = 865.86 USD$. (Name the currency)
• Answer: USD$ 867.86. (Total should always be rounded off to two decimal
places.
•