INFLATION & EXCHANGE RATE

[Mauli]

Q) In 2010, the exchange rate of the Indian rupee was Rs.50 per US $. By 2012, it had risen to Rs. 60 per U.S dollar. In 2012, the US price index was 105 with base year 2010. In India , the price index rose from 100 to 120 between 2010 and 2012. What is the difference between nominal and real exchange rates of the Indian rupee vis-a-vis the US $.

a) around 10%

b) around 15%.

c) around 20%

d) none of the above.

[Ansh malhotra]

[Mauli]

this is so awesome.:)
thanks a lot !!