sample_quiz_2[1]

sample_quiz_2[1] - Version Fin 536 Sample Quiz 2...

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Version Fin 536 Sample Quiz 2 Name____________Section_4pm/7pm Note: You must review all potential topics for the quiz. This sample quiz does not cover all testable topics. 1. Fill out the answers. a. Citibank quotes ¥98.40-100.30/$. Then the bid price of yen is ________________ and the bid price of dollar is ________________ . b. Three banks are quoting the following rates: Citibank quotes $1.52/£; UBS quotes €1.30/£; Deutsche Bank quotes $1.45/€. If you start with $1000, you profit will be $________________ from arbitrage. The direction of arbitrage includes________________ (buying/selling) € from/to UBS. c. The exchange rate between yen and U.S. dollar was ¥100/$ in Jan 2009 and ¥90/$ in August 2009, then U.S. dollar ________________ (appreciated/depreciated) by %_________________ _ d. A Big Mac costs €2.8 in Europe , while it costs $3.5 in the U.S. The implied PPP exchange rate between euro and dollar is $________________ /€. If the actual market exchange rate is S($/€)=1.15,
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This note was uploaded on 09/06/2011 for the course FIN 536 taught by Professor Staff during the Spring '11 term at S.F. State.

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sample_quiz_2[1] - Version Fin 536 Sample Quiz 2...

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