A bank is quoting the following exchange rates against the dollar for the Swiss franc and...

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Question

A bank is quoting the following exchange rates against the dollar for the Swiss franc and...

A bank is quoting the following exchange rates against the dollar for the Swiss franc and Australian dollar:

Fr/$ = 1.0091-96

A$/$ = 1.4110-16

What is the A$/Fr bid quote?
What is the A$/Fr ask quote?

business finance

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Answer 1

Answer #1

a. A$ /Fr bid = A$ /$ bid * (1 / Fr/$ ask)

=> 1.4110 *(1 / (1.0096)

=>1.3976.

b.A$/Fr ask = A$/$ ask * (1 / Fr/$ bid)

=>1.4116 * 1 /1.0091

=>1.3989.

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Answer 2

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