UNIVERSIDAD AUTNOMA DE NUEVO LEN FACULTAD DE CONTADURIA PBLICA Y ADMINISTRACIN INTERNATIONAL BUSINESS

Operational Management Assignment #2

Name: Mitzi Gabriela Espinosa Delgado ID number: 1568186 Group: 3Vi Due Date: August 30, 2013

From where the symbol of money $ comes?

The dollar sign is derived from the Spanish coat of arms engraved on the Spanish silver coin of the colony, the "Real de a ocho" or Spanish dollar in circulation in the Spanish colonies in America and Asia as well as in the thirteen English colonies. The coat of arms of Spain has two columns (| |) representing the Pillars of Hercules and a ribbon around them, with the motto "Non Plus Ultra" originally and "Plus Ultra" later. In 1492, King Ferdinand II of Aragon, adopted the symbol of the Pillars of Hercules and added the Latin phrase Non plus ultra which means "not beyond", stating "it is in the World (known)". But when Christopher Columbus discovered America, the legend was changed by Plus ultra, "beyond". This symbol was especially taken by Charles V and was part of his coat of arms as a symbol of its American possessions. When the Spanish conquistadors found gold and silver in the New World, Carlos V symbol was stamped on the coins minted in these metals. These coins with the columns of Hercules over two hemispheres were spread throughout America and Europe, and the symbol was adopted by many of the independent nations of America. Later traders wrote signs that, instead of saying dollar or peso, had this symbol handmade, and this in turn evolved into a simple S with two vertical bars.

What is a Piece of Eight?

Pieces of eight are historical Spanish dollar coins minted in the Americas from the late 15th century through the 19th century. Made of silver, they were in nearly worldwide circulation by the late 19th century and were legal currency in the United States until 1857. The Spanish dollar coin was worth eight reales and could be physically cut into eight pieces, or "bits," to make change hence the colloquial name "pieces of eight." The dollar coin could also be cut into quarters, and "two bits" became American slang for a quarter dollar, or 25 cents. The American dollar used today was based on the Spanish dollar. These coins have long been associated with pirates, because they were a common target for the outlaws, as large amounts were regularly shipped from the American colonies to Spain. In addition, Spanish traders carried them to Manila in the Philippines once or twice a year to trade for Chinese goods. Many pirates became rich intercepting ships carrying pieces of eight. The buried pirate treasure of legend is often said to include the coin. Pieces of eight were popular in America's British colonies because British currency was limited. After the United States gained independence, the coins remained a widely used currency. Though the United States began minting its own coins in 1792, the better-quality Spanish dollar remained the most popular currency in the country until Congress ended its use in 1857.