The foreign exchange department of Bank of America has a bid quote on Canadian dollars (C$) of

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The foreign exchange department of Bank of America has a bid quote on Canadian dollars (C$) of C$1.0800/$. If the bank typically tries to make a bid-ask spread of 0.5 percent on these foreign exchange transactions, what will the ask rate have to be?

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Fundamentals of Corporate Finance

ISBN: 978-1119371403

4th edition

Authors: Robert Parrino, David S. Kidwell, Thomas Bates

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Question Posted: Feb 07, 2019 04:33 AM

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The foreign exchange department of Bank of America has a bid quote on Canadian dollars (C$) of

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The ask rate will have to be C109 to provide a 05 percent bidask ...View the full answer

Fundamentals of Corporate Finance

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