Solved: How many us dollars will dow chemical receive from the sale, Accounting Basics

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How many us dollars will dow chemical receive from the sale

Question - Suppose Dow Chemical receives quotes of $0.008242-45 for the yen and $0.03023-27 for the Taiwan dollar (NT$) from Bank of America (BOA). That is, S($/¥) = $0.008242-0.008245 and S($/NT$) = $0.03023-0.03027.

a. How many U.S. dollars will Dow Chemical receive from the sale of ¥50 million?

b. What is the U.S. dollar cost to Dow Chemical of buying ¥1 billion?

c. How many NT$ will Dow Chemical receive for U.S.$500,000?

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Accounting Basics: How many us dollars will dow chemical receive from the sale

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