Question
The cash manager at AmFlex Company needs to buy 1,000,000 British pounds (GBP) to pay a British supplier. A currency broker quotes him a bid-ask
The cash manager at AmFlex Company needs to buy 1,000,000 British pounds (GBP) to pay a British supplier.
A currency broker quotes him a bid-ask rate of GBP/USD 0.4865/0.5116.
What will be the USD cost of the GBP 1,000,000?
A.
USD 2,055,499
B.
USD 1,954,652
C.
USD 486,618
Which one is correct?
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Entrepreneurial Finance
Authors: J . chris leach, Ronald w. melicher
4th edition
538478152, 978-0538478151
