2. Nyakallo has a business that imports mangoes from Kenya to South Africa. She buys each mango for K 2 . Would she be better off with a stronger or weaker rand (against the shilling) for her imports? Answer: Nyakallo would be better off with a Select \( \quad \hat{v} \) rand (against the shillina) for her imborts. Final check \( \quad \checkmark \) Select \( \quad \) weaker stronger 3. Phillip is a South African who is going on a trip to Kenya. He has saved up \( R 500 \) to spend while he is there. Would he be better off with a stronger or weaker rand (against the shilling) for his trip?

To solve the problems regarding Nyakallo's imports and Phillip's trip, we need to analyze the impact of the strength of the rand against the Kenyan shilling. ### Problem 2: Nyakallo's Imports 1. **Known Conditions:** - Nyakallo buys each mango for K 2 (Kenyan shillings). - We need to determine whether she would be better off with a stronger or weaker rand against the shilling. 2. **Analysis:** - If the rand is **stronger** against the shilling, it means that Nyakallo can buy more shillings with each rand. For example, if the exchange rate is 1 ZAR = 20 KES, she would need to spend fewer rands to buy the same number of mangoes. - Conversely, if the rand is **weaker**, she would need to spend more rands to buy the same number of mangoes. 3. **Conclusion:** - Nyakallo would be better off with a **stronger** rand against the shilling for her imports. This is because a stronger rand means she can purchase more mangoes for the same amount of money. ### Problem 3: Phillip's Trip 1. **Known Conditions:** - Phillip has saved up R 500 to spend in Kenya. - We need to determine whether he would be better off with a stronger or weaker rand against the shilling. 2. **Analysis:** - If the rand is **stronger** against the shilling, Phillip will get more shillings for his R 500. For example, if the exchange rate is 1 ZAR = 20 KES, he would receive 10,000 KES for his R 500. - If the rand is **weaker**, he would receive fewer shillings for the same amount of rands, meaning he would have less purchasing power in Kenya. 3. **Conclusion:** - Phillip would be better off with a **stronger** rand against the shilling for his trip. This would allow him to have more spending power while he is in Kenya. ### Final Answers: - For Nyakallo: **Stronger** - For Phillip: **Stronger**