Question
7. You are given the following quotes on two currencies: $1 = 0.7519 1 = $1.1922 a. What is the cross-rate of exchange between the
7. You are given the following quotes on two currencies:
$1 = 0.7519 1 = $1.1922
a. What is the cross-rate of exchange between the and (that is, find the euro price of the pound)? Please take all currency calculations out to four decimal places.
b. If you are a citizen of the UK, is the answer in part (a) a direct quote or an indirect quote?
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Foundations of Finance The Logic and Practice of Financial Management
Authors: Arthur J. Keown, John D. Martin, J. William Petty
8th edition
132994879, 978-0132994873
