Infosys (INFY) is listed as an ADR on the New York Stock Exchange (NYSE) in USD....
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Infosys (INFY) is listed as an ADR on the New York Stock Exchange (NYSE) in USD. It is also listed on the Euronext in EUR. Here are some quotes: NYSE (in $) Euronext (in €) $: € (euros per dollar) 59 ¹/2-60 ³/8 50-51 ½ 0.8536-0.8564 In addition, you have to pay a commission of 0.3% in New York or 0.5% in Euronext. Show your calculations wherever necessary to justify your answers. (a) Where should you buy INFY shares if you are an American investor (b) Where should you sell INFY shares if you are an American investor? (c) If all commissions were waived for a large transaction, would your answer be the same? (2 marks) (2 marks) (3 marks) Infosys (INFY) is listed as an ADR on the New York Stock Exchange (NYSE) in USD. It is also listed on the Euronext in EUR. Here are some quotes: NYSE (in $) Euronext (in €) $: € (euros per dollar) 59 ¹/2-60 ³/8 50-51 ½ 0.8536-0.8564 In addition, you have to pay a commission of 0.3% in New York or 0.5% in Euronext. Show your calculations wherever necessary to justify your answers. (a) Where should you buy INFY shares if you are an American investor (b) Where should you sell INFY shares if you are an American investor? (c) If all commissions were waived for a large transaction, would your answer be the same? (2 marks) (2 marks) (3 marks)
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To determine where an American investor should buy and sell INFY shares we need to consider the exch... View the full answer
Related Book For
Understanding Business Statistics
ISBN: 978-1118145258
1st edition
Authors: Stacey Jones, Tim Bergquist, Ned Freed
Posted Date:
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