1. The exchange rates in New York are: $1 = AUD 1.2958 and $1 = £0.6659 A dealer is offering a quote: AUD 1 = £0.7896.
2. ABC Inc.'s stock is currently selling for $22.82 per share. The company just paid its first annual dividend of $1.77 a share. The firm plans to increase the dividend by 6.7 percent per year indefinitely. What is the required rate of return on equity?
3. Suppose you have the following information: $1 = £0.6818 $1 = C$1.4044 What is the £/C$ cross rate?