1. A company experienced an increase in revenue from U.K. as shown below.

Year       Revenue              Exchange rate

2015      £10,000               $1.5254 per £

2016      £10,500               $1.3555 per £

Compute the percentage rate of change in the revenue in (nominal) dollar terms.

2. A company experienced an increase in revenue from U.K. as shown below.

Year       Revenue              Exchange rate

2015      £10,000               $1.5254 per £

2016      £10,500                $1.3555 per £

If the inflation in the U. S. was 3% compute the real rate of change in the revenue in dollar terms.