GED Practice Exam 2026 – Complete Test Prep and Guide

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If the exchange rate between the Euro (€) and the U.S. dollar ($) is $2.5 to €1, how many dollars would it take to purchase a plane ticket that costs €1580.00?

$39,500.00

$3,950.00

To determine how many U.S. dollars are needed to purchase a plane ticket that costs €1580.00 when the exchange rate is $2.5 for every €1, you simply need to multiply the euro amount by the exchange rate.

This means calculating:

€1580.00 * $2.5/€1 = $3950.00.

Thus, the correct amount of dollars required to purchase the ticket is $3,950.00. The choice aligns correctly with the calculation, confirming that the understanding of currency conversion based on the defined exchange rate is accurately applied.

The other choices offer different dollar amounts that stem from either miscalculations or misunderstandings of how currency exchange works, such as dividing instead of multiplying or using incorrect figures altogether. In this case, recognizing that the ticket price in euros directly multiplies by the exchange rate provides clarity on the conversion process.

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$395.00

$632.00

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