01.02 How does the Wizarding World financial system compare to the rest of the world?

01.02 How does the Wizarding World financial system compare to the rest of the world?

01.02.01 How do Wizarding World currencies compare?
The Wizarding World in Great Britain has a different monetary system. They use a set of coins instead of any paper type of bills.
Hagrid explains there are 29 knuts to a sickle and 17 sickles to a galleon. Create a table comparing the coins to each other. Show representations as fractions, decimals and percentages.

 

Table Layout Suggestion
Hint
Key

 

01.02.02 How do Wizarding World currencies compare with Muggle currencies?
Can you afford to go to Diagon Alley? If the approximate value of a Galleon is “About five Great British pounds, though the exchange rate varies!” according to J. K. Rowling [web page], explore the value of one of each coin in two other currencies using a historical currency convertor site [web page] and the Galleon worth £4.93 (GPD, Great Britain Pound Sterling). Express your final comparisons using decimals and round answers to 2 decimals. Hint: you might choose to do one currency, check the answer, and then do another currency. Your Key [web page] uses the date December 5, 2010. 
Suggested currencies include:
  • Argentine Peso,
  • Australian Dollar,
  • Bangladeshi Taka,
  • Brazilian Real,
  • Canadian Dollar,
  • Danish Krone,
  • Euro,
  • Hong Kong Dollar,
  • Indian Rupee,
  • Japanese Yen,
  • Korean Won,
  • Philippine Peso,
  • Russian Ruble,
  • Serbian Dinar,
  • South African Rand,
  • Swedish Krona,
  • Swiss Franc,
  • Thai Baht,
  • Turkish Lira,
  • US Dollar.

 

01.02.03 How can I easily show the comparative value of individual currencies?
(approximately 1 minute reading and 10 minutes working)
Plot the Wizarding World coins on a number line as well as the single bill of the the Great British Pound Sterling GBP and the Canadian Dollar CAD from the chart that was the Key in 01.02.02. Hint: Remember that you need to be able to plot up to around 500 Knuts, as that is the value of your Galleon, so divide your number line into suitable distances. Suggested amount is 50 Knuts per centimeter.  
Key

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01.02.04 When can students go to Hogsmeade?
Hogsmeade trips were on different weekends in different years. For many years, the schedule was decided by the whim of one of the professors. Some years there were 4 trips and some years significantly less. If, in the year 2006, the trips were only allowed on Saturdays that had a calendar day number with a multiple of 11, what Saturdays might students be able to go to Hogsmeade? Give your answer using the date.
Hint for Hogsmeade trips in 2006
Key for Hogsmeade trips in 2006
Hogsmeade trips would be on Saturday, March 18, Saturday, June 3 and Saturday, November 4th.
Lowest Common Multiple of 11 and 7 (because there are seven days in a week) is 77.
The next multiple would be 2*7*11 which is 154.
The next multiple would be 3*7*11 which is 231.
The next multiple would be 4*7*11 which is 308.
There is no need for any other multiples because that would be over 365 days in a year.
Sharing Candy you bought at Hogsmeade.
If you buy 126 jelly slugs and 24 chocolate frogs while there, what is the largest number of people you can share with, giving everyone an equal share? How many other groupings could you share with equally? Remember to keep a share for yourself. 
Key for sharing candy
You can share with 5 other people, for a total of 6 people, counting yourself
Factor 126 and 24.
126 = 2*3*3*7 and 24 = 2*2*2*3
Greatest (or Highest) Common Factor is 2*3 = 6

 

01.02.05 How do I decide on tips and dividing shared meals?
You split:
  • The Great Feast ($60.99),
  • two Butterbeer™ Potted Cream ($5.79 each) for dessert.
You also each had a Butterbeer™($7.99 each for any type).
You need to leave a 15% to 20% tip and you are also charged 7% tax on your meal.
Calculate the tax and a tip that will enable you to split the bill evenly using the American money system.
Hint
Calculate the tax first. Then calculate a tip on the original bill without tax. Add the bill, the tax and the tip and round it to an amount divisible by 5. Choose 15% if your service was adequate and up to 20% if your service was good or if you sat at your table longer than you probably should have. Note that many restaurants include a suggested tip that is calculated using the original bill with tax. 
Key

Total bill before taxes or tip: $60.00 + (2*$5.79) + (5*$7.99) = $60.00 + $11.58 + 3$9.95 = $111.53.

Taxes: 7% of $111.53 is $7.8071 which would round to $7.81. (Tax rounds to nearest penny)
Total bill including taxes: $111.53 plus 7.81 is $119.34
Tip possibilities:
15% of 111.53 is 16.7295 (rounded to 16.73). Total with tax is 136.07.
16% of 111.53 is 17.8448 (rounded to 17.84). Total with tax is 137.18.
17% of 111.53 is 18.9601 (rounded to 18.96). Total with tax is 138.30.
18% of 111.53 is 20.0754 (rounded to 20.08). Total with tax is 139.42.
19% of 111.53 is 21.1907 (rounded to 21.19). Total with tax is 140.53.
20% of 111.53 is 22.306 (rounded to 22.31). Total with tax is 141.65.
If you round to $140, you leave a nice tip and each person pays $28. (divide by 5 to get individual amount)

 

 

01.02.06 What is gross and net pay?
(approximately 20 minutes reading)
There are no taxes in the Wizarding World. In BC, depending on your employer, you can have deductions for:
– Federal income tax
– Federal Employment Insurance premiums (EI)
– Canada Pension Plan contributions (CPP)
– Medical premiums
– Registered Retirement Savings Plan (RRSP) or a retirement plan offered by your employer or union

 

01.02.07 Can I afford Hogwarts school supplies?
If you were to attend Hogwarts, how much of your currency would you need to buy your supplies in Diagon Alley? You can choose to purchase only a few items, as not all links provide a price.
Hint (Prices of all items in a table)

 

Links will take you to the Harry Potter Fandom site. This shopping list [web page] was found on the site. The list quotes items from J. K. Rowlings’ book, Harry Potter and the Philosopher’s Stone [web page]. Your letter of acceptance states that first-year students will require:

Key:
Convert the cost of the items you are buying by multiplying the total Galleons by the cost of a Galleon in your currency as discovered in Task 01.02.02. For example, the total of all supplies except for the protective gloves and a wand would be $72.94 Galleons times $8.43 Canadian at the time which is $614.88.

 

 

 

Featured Image by Tuyen Vo on Unsplash