Problem 1: Emma-Lee purchased US$10,000 from a bank in the US, which charged her a commission of 0.80%, and sold the US dollars to a bank in Canada, which charged her a 0.25% commission. How much money did she lose or gain? Assume that the exchange rate was C$1 = US$0.7495.
Problem 2: A bank in London, Ontario charges 2.25% commission to buy and sell currencies. Assume that the current exchange rate is US$1 = C$1.3342.
a. How many Canadian dollars will you receive from the bank if you sell US$1375?
b. How much commission will you pay the bank for this transaction?