The current spot rate, How much will you pay in USD to

The current spot rate

Assignment Help Financial Management

Reference no: EM131952864

1. You want to buy Mexican pesos (MXN). The spot rate quote is MXN18.3255000/$ Bid – MXN18.330000/$ Ask. How much will you pay in USD to purchase MXN500,000 at the current spot rate?

A. $27,277.69

B. $9,162.75

C. $24,893.03

D. $27,284.39

2. On January 1, 2016, the spot rate for the Mexican peso (MXN) was MXN17.267900/USD Bid – MXN17.274400/USD Ask, and your firm purchased MXN15,000,000. One year later, the firm sold MXN15,000,000 when the spot rate was MXN20.597500/USD Bid – MXN20.605500/USD Ask. How much did the firm gain or lose in U.S. dollars?

A. -$140,702.84

B. $141,063.57

C. -$140,093.24

D. $93,984.13

Reference no: EM131952864

Questions Cloud

Who is liable for premature payment on postdated checks : Who is liable for premature payment on postdated checks? Does a holder in due course have protection against all defenses or only certain defenses?

What is total after tax cash flow : If the company's tax rate is 33, what is the total after tax cash flow that will result from selling this asset?

Which projects are accepted if corporate cost of capital : Which projects are accepted if the project’s cost of capital is used? Which projects are accepted if the corporate cost of capital is used?

What is the value of the investment opportunity today : A new start-up company promises to pay an investor each quarter for the next two years. what is the value of the investment opportunity today?

The current spot rate : How much will you pay in USD to purchase MXN500,000 at the current spot rate?

Required to compute the taxable benefit where necessary : Advise both Charlie and Shine Homes about their fringe benefit consequences of these events. You are required to compute the taxable benefit where necessary.

What is the maximum percentage decline in stock : What is the maximum percentage decline in the stock before you will receive a margin call if the maintenance margin is 28 percent?

Profitable operations-calculate the npv of the project : The corporate tax rate is 34 percent. The company has other ongoing profitable operations. Calculate the NPV of the project.

What is your annualized percentage return on investment : You also received a dividend of $0.19 per share. What is your annualized percentage return on this investment?

User Account

All Pages