The Ruiz family is exchanging euros for US dollars. The exchange rate is 1 euro equals 1.35261 USD. Since the Ruiz family knows that USD are stated to the nearest hundredth of a dollar, they used the conversion ratio. Will this give the Ruiz family the correct exchange? Explain.

Question

imstuck · Answer

It depends upon the number of euros they are changing into dollars.  If they are exchanging say 5 euros, the dollar amount is 6.76305 which, rounded to the nearest hundredth, gives 6.76, the same as taking the hundredths place only and not rounding.  But if they are changing 2 euros, for example, the US dollar amount is 2.70522 which, rounded to the nearest hundredth is 2.71.  If rounding was used in this case, they are coming out a bit ahead.  I'm just not sure if rounding is used as a rule for this or not.

anonymous · Answer

Thank you so much :)