Hi, I was wondering why they decided to use the bid price of $1.1250 instead of $1.1255 to calculate how much the dealer would give the customer in the box labelled "customer sells 1000 pounds to dealer". From my understanding, the bid price of $1.1255 is how many dollars you would get per pound from selling pounds. So wouldn't this be the right metric to use?

Likewise, why isn't 0.8885 used instead of 0.8889 to calculate how much the dealer would give the customer in the box labelled "customer sells 1000 pounds to dealer". From my understanding 0.8885 represents the amount of pounds you would get for selling dollars? So wouldn't this be the right metric to use?

The Bid-Ask Spread: USD Bank American Terms European Terms Quotations Bid Ask Bid Ask Euro $1. 1250/E $1.1255/E E0.8885/$ E0.8889/$ Notice that the reciprocal of the S($/E) bid is the S(E/$) ask: $1. 1250/{ = EO.8889/$ $1,1250)= (1,000 X $1.1250 E1.00 Dealer $1, 125 Customer Customer (1,000 = $1,1250 X 60.8889 Dealer (1,000 $1.00 Customer buys $1,125 from dealer Customer sells (1,000 to dealer Copyright @ 2018 by the McGraw-Hill Companies, Inc. All rights reserved. 5-32