What is the current idr-php exchange rate

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Problem: Fishing boats from several countries engage in Tuna fishing in the Sulu Sea, which is located between the Philippines and Indonesia.  The boat captain can choose to sell his catch in either country, as there are fish markets and processing plants in both countries.  Boat captains can call processing plants in both countries to determine the best price before deciding which port to enter.  Assume that transportation costs are not economically meaningfully different.    

One year ago (March 23, 2019), the exchange rate was 262.45 IDR = 1 PHP. Note: IDR is Indonesian Rupiah and PHP is Philippines Peso. 

The price of tuna increased by 48% in Indonesia and by 7% in the Philippines over the last year.  Assume that processing plants in both countries continue to compete on price to buy freshly caught tuna.  

The current price of a Big Mac is IDR 35,750 in Indonesia and PHP 134 in the Philippines.    

What is the current IDR/PHP exchange rate (March 23, 2020)?

Reference no: EM132481730

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