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Sometimes the exchange rates will be given to reflect what one unit of the foreign currency is worth in British pounds.

One unit of foreign currency could refer to $1 in the USA, €1 in France or ¥1 in Japan.

Example 1

The exchange rate from US dollar to British pound is $1 = £0.64.

As dollars is the single unit:

• multiply to change from US dollar to British pound
• divide to change from British pound to US dollar

This diagram may help you to imagine the conversion more clearly:

Example 2

Calculate the value of $30 in British pounds.

$30 × 0.64 = £19.20.

Example 3

Calculate the value of £57 in US dollars.

£57 ÷ 0.64 = $89.0625.

$89.06 (to two decimal points).