1. ABC Company sells 3,063 chairs a year at an average price per chair of $195. The carrying cost per unit is $27.9. The company orders 239 chairs at a time and has a fixed order cost of $55.2 per order. The chairs are sold out before they are restocked. What are the total carrying costs?

2. In New York, you can exchange $1 for €0.8026 or £0.6149. Suppose that, in Berlin, £1 costs €1.1814. How much profit can you earn on $40,116 using triangle arbitrage?

3. ABC Company sells 2,265 chairs a year at an average price per chair of $159. The carrying cost per unit is $34.12. The company orders 589 chairs at a time and has a fixed order cost of $88 per order. The chairs are sold out before they are restocked. How many orders will company place if it follows the economic order quantity model?

4. The exchange rate is 0.967 Swiss francs per U.S. dollar. How many U.S. dollars are needed to purchase 1 Swiss franc?

5. Suppose the exchange rate between U.S. dollars and Swiss francs is SF 1.208 = $1.00, and the exchange rate between the U.S. dollar and the euro is $1.00 = 1.0271 euros. What is the cross-rate of euros to Swiss francs (Euro/SF)?

6. You can exchange $1 for either C$1.2971 or ¥120.3. What is the cross rate between the Japanese yen and the Canadian dollar? That is, solve for ¥ per C$.