Using the Foreign Exchange Market 1. Explain how you will use the spot market for your...
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Using the Foreign Exchange Market 1. Explain how you will use the spot market for your business. 2. What bank do you plan to use to exchange the foreign currency received for dollars? What is the bid/ask spread on a recent quotation by that bank? (Call the bank to obtain quotations.) 3. Will you possibly need the forward market? Explain. Accessing Recent Exchange Rates Go to www.oanda.com. Click on "Currency Tools", scroll down to "Historical Currency Converters", and then click on "Currency Trends". Explain how the main foreign currency for your business has changed over the last month, the last three months, and the last year. Using the Foreign Exchange Market 1. Explain how you will use the spot market for your business. 2. What bank do you plan to use to exchange the foreign currency received for dollars? What is the bid/ask spread on a recent quotation by that bank? (Call the bank to obtain quotations.) 3. Will you possibly need the forward market? Explain. Accessing Recent Exchange Rates Go to www.oanda.com. Click on "Currency Tools", scroll down to "Historical Currency Converters", and then click on "Currency Trends". Explain how the main foreign currency for your business has changed over the last month, the last three months, and the last year.
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1 The spot rate is the price quoted for immediate settlement on a commodity a security or a currency The spot rate also referred to as the spot price is the current market value of an asset at the mom... View the full answer
Related Book For
Income Tax Fundamentals 2013
ISBN: 9781285586618
31st Edition
Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill
Posted Date:
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