Australian banks published exchange rates are referred to as the Spot Rate OR Carded Rate.

1. True OR False .

2. When do they apply these rates, and how often?

3. If the Australian banks USD spot rates are; bank buy 0.6905 and bank sell 0.6258, which rate would apply to

an exporter receiving payment in USD and which rate would apply to an importer when sending USD

overseas.

4. Briefly explain what forward margins are and how they relate to bank published margins like those in (3)