A $3,500,000 banker's acceptance has 90 days to maturity. The market rate for 90-day B/As is 5.0%.
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Question:
A $3,500,000 banker's acceptance has 90 days to maturity. The market rate for 90-day B/As is 5.0%. The importer’s bank charges a 1.25% acceptance commission. How much will the exporter will receive if the B/A is discounted with the importer's bank.
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Related Book For
International Financial Management
ISBN: 978-0078034657
6th Edition
Authors: Cheol S. Eun, Bruce G.Resnick
Posted Date: