Question
Assume that a bank's bid rate on Singapore dollar (SGD) is $0.76 and its ask rate is $0.79. This implies that A. you can sell
Assume that a bank's bid rate on Singapore dollar (SGD) is $0.76 and its ask rate is $0.79. This implies that
A.you can sell 1 USD at SGD $1.268
B.you can buy 1 SGD at $0.76
C.you can sell 1 SGD at $0.79
D.you can buy 1 USD at SGD $1.316
The answer is D. Could you please explain why D is the answer, instead of A? And please briefly show workings.
Thanks
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Fundamentals Of Multinational Finance
Authors: Michael Moffett, Arthur Stonehill, David Eiteman
6th Edition
0134472136, 978-0134472133
