Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Hi can you help me to answer this question for fundamental of foreign exchange. Q1. When a bank decided to buy USD/MYR for 1 million

Hi can you help me to answer this question for fundamental of foreign exchange.

Q1. When a bank decided to buy USD/MYR for 1 million at 3.2000, it means

i.

The bank is

_____________________

USD

_________________

ii.

The bank is

_____________________

MYR

_________________

Q2. You are one of the Treasury Dealers at UUM Bank. You call USM Bank for a USD/SGD quote. USM Bank responded and says 1.50 80 / 00.

i.

At what rate can you buy SGD?

________

ii.

At what rate can you buy USD?

________

iii.

At what rate can you sell SGD?

________

iv.

At what rate can you sell USD?

________

v.

At what rate does USM Bank buys USD?

________

vi.

At what rate does USM Bank buys SGD?

________

vii.

At what rate does USM Bank sells USD?

________

viii.

At what rate does USM Bank sells SGD?

________

Q3. You are one of the Treasury Dealers at UUM Bank. Suppose now USM Bank calls you for a USD/MYR quote. You responded and says 3.17 40 / 50.

i.

What currency can you buy at 3.1750?

________

ii.

What currency can you buy at 3.1740?

________

iii.

What currency can you sell at 3.1750?

________

iv.

What currency can you sell at 3.1740?

________

v.

What currency can USM Bank buys at 3.1740?

________

vi.

What currency can USM Bank buys at 3.1750?

________

vii.

What currency can USM Bank sells at 3.1740?

________

viii.

What currency can USM Bank sells at 3.1750?

________

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Financial Intelligence For IT Professionals

Authors: Karen Berman, Joe Knight, John Case

1st Edition

1422119149, 9781422119143

More Books

Students also viewed these Finance questions