Foreign Exchange

devinarastogi84
Good Student
Posts: 22
Joined: Thu Apr 17, 2014 9:40 pm

Foreign Exchange

Postby devinarastogi84 » Thu May 01, 2014 6:38 pm

Currency Bid Offer
CAD 1.5599 1.5604
JPY 117.50 117.60

Question: What if the customer wants to sell JPY for CAD??
Here It should be first Sell JPY for USD: USD/JPY= 1/117.60
then Sell USD for CAD: CAD/USD: 1.5569
So, CAD/JPY = 1.5569/1/117.60...

Kindly explain the correct way in detail ...step by step.

edupristine
Finance Junkie
Posts: 722
Joined: Wed Apr 09, 2014 6:28 am

Foreign Exchange

Postby edupristine » Fri May 02, 2014 8:32 am

Currency bid offer:
Buy Sell
CAD 1.5599 1.5604
JPY 117.50 117.60

Hence, If the customer wants to sell JPY for CAD.
1.5604/117.50 = .01328

devinarastogi84
Good Student
Posts: 22
Joined: Thu Apr 17, 2014 9:40 pm

Postby devinarastogi84 » Fri May 02, 2014 4:15 pm

You have just explained what i have written while the correct solution is 117.60/1.5604. I wanted to know how its 117.60/1.5604?? while should be as per my understanding 1.5604/117.50 = .01328

edupristine
Finance Junkie
Posts: 722
Joined: Wed Apr 09, 2014 6:28 am

Foreign Exchange

Postby edupristine » Sat May 03, 2014 5:29 pm

Please refer the exact source of question.

devinarastogi84
Good Student
Posts: 22
Joined: Thu Apr 17, 2014 9:40 pm

Postby devinarastogi84 » Fri May 16, 2014 5:57 pm

??


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