This preview shows page 1. Sign up to view the full content.
Unformatted text preview: (£100)($1.4729/£1) = $147.29 b. You would still prefer £100. Using the $/£ exchange rate and the C$/$ exchange rate to find the amount of Canadian dollars £100 will buy, we get: (£100)($1.4729/£1)(C$1.2381/$1) = C$182.36 c. Using the quotes in the book to find the C$/£ cross rate, we find: (C$1.2381/$1)($1.4729/£1) = C$1.8236/£1 The £/C$ exchange rate is the inverse of the C$/£ exchange rate, so: £1/C$1.8236 = £0.5484/C$...
View Full Document
This note was uploaded on 01/23/2012 for the course MGT 111 taught by Professor Unknown during the Spring '11 term at Washington State University .
- Spring '11