Mississippi Mud Pies, Inc., needs to buy 1,000,000 Swiss francs (CHF) to pay its Swiss chocolate supplier.

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Mississippi Mud Pies, Inc., needs to buy 1,000,000 Swiss francs (CHF) to pay its Swiss chocolate supplier. Its banker quotes bid–ask rates of CHF1.3990–1.4000/USD. What will be the dollar cost of the CHF1,000,000?

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International Financial Management

ISBN: 978-0132162760

2nd edition

Authors: Geert Bekaert, Robert J. Hodrick

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Question Posted: May 28, 2012 03:50 AM

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Mississippi Mud Pies, Inc., needs to buy 1,000,000 Swiss francs (CHF) to pay its Swiss chocolate supplier.

Question:

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The banks bid rate is CHF13990 That is the price at which the bank is will...View the full answer

International Financial Management

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