Interpreting FX Quotes What do the following quotes imply aCADGBP 231 GBPCAD

Interpreting fx quotes what do the following quotes

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2. Interpreting FX QuotesWhat do the following quotes imply(a)CAD/GBP 2.31; GBP/CAD 0.43
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Solution
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Cross Quotes A bank quotes the following rates. Compute the EUR/JPY bid cross-rate (that is, the bank’s rate for buying JPY). Bid Ask EUR/CAD 0.64- 0.645 CAD/JPY 0.01-
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Solution
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Transacting in FX Suppose that an umbrella costs USD 20 in Atlanta, and the USD/CAD exchange is 0.84. How many CAD do you need to buy the umbrella in Atlanta?
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Interpreting bid-ask quotesGiven the bid-ask quotes for jpy/gbp 220-240, at what rate will YOU
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Solution The quote of JPY/GBP of 220-240 implies that the bank will buy JPY from you at 220 and sell JPY to you at 240 (a) jpy/gbp 240 (b) jpy/gbp 220 (c) jpy/gbp 220 (d) jpy/gbp 240.
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  • Winter '20
  • MUNI
  • Exchange Rate, Foreign exchange market, United States dollar, Pound sterling, Bank of India

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