You have just graduated from the University of Florida and are leaving on a whirlwind tour to see some friends. You wish to spend USD 2,000 each in Germany, New Zealand, and Great Britain (USD 6,000 in total). Your bank offers you the following bid-ask quotes:

EUR 1: USD 1.1304-1.1305,

NZD 1: USD 0.67-0.69, and

GBP 1: USD 1.90-1.95.

Required:

1. If you accept these quotes, how many EUR, NZD, and GBP do you have at departure? (6 marks)
2. If you return with EUR 600, NZD 2,000, and GBP 150, and the exchange rates are unchanged, how many USD do you have? (5 marks)
3. Suppose that instead of selling your remaining EUR 600 once you return home, you want to sell them in Great Britain. At the train station, you are offered EUR1: GBP 0.66-0.68, while a bank three blocks from the station offers EUR1: GBP 0.665-0.675.
   1. At what rate are you willing to sell your EUR 600? (3 marks)
   2. How many GBP will you receive