Using a foreign currency jackpot to teach exchange rates

Lesson Summary

Show students how to convert money from one currency into another and what happens when a currency appreciates or depreciates in value.

Clip Summary

Squid Game starts with 456 players. Every time a player dies in, or outside an official game, SK ₩100 million is added to the prize fund. At the end of the first game, 255 players have been eliminated, so the jackpot currently stands at SK ₩25.5 billion.

Assessment Questions

  1. If USD $1 is equal to SK ₩1192.57, what is SK ₩25.5 billion equal to in USD?

  2. If the USD appreciates against the SK ₩, the SK ₩25.5 billion jackpot is worth ____ in USD.

    • ​More

    • Less

    • Stays the same

  3. Assume USD $1 is now equal to SK ₩2000. What is the SK ₩25.5 billion jackpot now worth in USD? What is the change from Q1?

Hover over box to see suggested answers

  1. As of March 2022, ₩25.5 billion /1192.57 = USD $21.382 million. 

  2. Less: If the USD appreciates against the SK ₩, then the SK ₩ buys fewer USD, or expressed differently, the jackpot is worth less when converted into USD.

  3. ₩25.5 billion /2000 = USD $12.75 million, a decrease of $8.632 million.