Multiple Choice
Given a direct quote, we can obtain an indirect quote (which is simply the reciprocal of the direct quote) , and vice versa. For example, on March 9, 2009, a U.S. investor is given a direct quote of 1.2674 U.S. dollars for one euro. That is, the price of a euro is $1.2674. What would be the indirect quote for the U.S. investor; that is, one U.S. dollar can be exchanged for how many euros (which is the euro price of a U.S. dollar) ?
A) 1.2674
B) 1.0000
C) 0.8988
D) 0.7889
Correct Answer:
Verified
Correct Answer:
Verified
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