Question

Aggie is an Australian exchange student in China, and she currently has 14,000 yuan in her bank account. If the exchange rate changes from 1 Australian dollar = 6.21 Chinese yuan to 1 Australian dollar = 6.37 Chinese yuan, what happens to the value in Australian dollars of the money in Aggie's bank account?

Answer 1

Find the value in Australian dollars for each exchange rate. 
1st exchange rate: 
14000/6.21= $2254.43 

2nd exchange rate: 
14000/6.37= $2197.80 

Find the difference between the two: 
$2254.43 - $2197.80 = $56.63 

Since the first value is greater than your second one Aggie lost money and your answer is It decreases by $56.63.