and the winner is…

Untitled-2Congratulations to Gabrielle LaVorgna, SIS/BA ’12, winner of this issue’s “Final Exam.” Gabrielle was one of 36 people who correctly answered international business professor Frank DuBois’ brain teaser. She wins a six-month subscription to Politics and Prose Bookstore’s Book-a-Month Gift Program.

For those who need a refresher course, here’s the original question:

You’re traveling with your friend, Raffa, a professional tennis player. He wants to buy a diamond tennis bracelet for his girlfriend in Spain. He sees a bracelet that he likes for 100,000 Swiss francs at the airport in Geneva, where he played a charity exhibition match. He’s about to buy it when you suggest that he might get a better deal in Madrid, where a financial crisis may mean better prices. You call your friend who works at the Madrid airport, and she finds the bracelet for 40,000 Euros. Raffa’s plane is about to take off and there’s no time to find the exchange rate. However, you notice a copy of the International Herald Tribune, which has a list of its prices in several currencies. A copy of the paper sells for 1.5 Euros or 4 Swiss francs. Should Raffa buy the bracelet in Geneva or wait until he gets to Madrid?

And here’s the answer, per professor DuBois:

The implied exchange rate from the Herald Trib is 2.67 Swiss francs per Euro (4sf divided by 1.5 Euros). So something that costs 100,000 Swiss francs is going to be the same as 100,000 divided by 2.67 or 37,453 Euros. Grab the bracelet in Geneva. It’s 2546 Euros cheaper than in Madrid.

I love how some of you explained the answer in great, wonky detail (I’ll post some of your answers in the coming days). It’s great to know you’re having fun with this section of the magazine, and I truly wish I could give you all a prize!

Look for another “Final Exam” (from the School of Communication) in the July issue.