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During a three-day, two-night business trip to Egypt a traveler recorded her expenses so that she could be reimbursed upon her return. She paid $350 for her airfare to Cairo. For each cab ride she took in Cairo, she paid a fare of 40LE (40 livre égyptienne or Egyptian pounds), and she took two cab rides per day. She spent 300LE each day on food, and each night in the hotel cost 1500LE. Her plane fare home from Cairo cost 3923LE. If the exchange rate of American dollars to Egyptian pounds is $1 = 6.0361 EGP, how much will the traveler be reimbursed in American dollars?
  1. About $1446
  2. About $1286
  3. About $1636
  4. About $1396
Explanation
Answer: C - A traveler on a three-day, two-night trip to Cairo spending 240LE on cab fare, 600LE on meals, 3000LE on nights in a hotel, 3923LE and $350 on airfare, would be reimbursed about $1636 when she returned home. She spent 7763LE in Cairo, which, at an exchange rate of $1 = 6.0361 (EGP) is about $1286. She also spent $350 on airfare in the United States, which must be added to her expenses.
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