The spot rate of the Euro is quoted at Kshs. 112.53. Calculate indirect quotation of the...

Question

Question

The spot rate of the Euro is quoted at Kshs. 112.53. Calculate indirect quotation of the transaction.

Answer 1

Answer #1

Answer

The indirect quotation of the transaction is (1/112.53) = 0.008886, which is based on the spot rate of the Euro quoted at Kshs 112.53.

Working:

The formula which is used to find indirect quotation is :

Indirect Quote =1 / Direct Quote.

Answer 2

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