Award in Mathematics -
Number and Measure (Level 1)
Topic 26: Exchange rates
When money is exchanged from one currency into another, this is done according to an exchange rate.
Here is an exchange rate for changing pounds into US dollars, or the other way around.
This exchange rate is a ratio, which tells you how many times more valuable 1 pound is than 1 dollar.
In this case, the ratio is 1 : 1.29
1 pound is worth 1.29 dollars.
When changing pounds into dollars you should multiply by 1.29.
When changing dollars into pounds you should divide by 1.29.
To remember whether to multiply or divide, ask yourself: do you expect the number you end up with to be greater or smaller than the number you started with?