Find the real exchange rate for the following case: Assume that the representative basket of European goods and services costs 40 euros and the representative U.S

basket costs $50, and the dollar/euro exchange rate is $0.90 per euro, then the price of the European basket in terms of U.S. basket is ________.

[(0.9 $/euro) (40 euro per a European basket)]/[(50 $/U.S. basket)]