Answer: $1639.3
Explanation:
From the question, we are informed that Bank A quotes a bid rate of $0.300 and an ask rate of $0.305 for the Malaysian ringgit (MYR) and that bank B quotes a bid rate of $0.306 and an ask rate of $0.310 for the ringgit.
The profit for an investor that has $500,000 available to conduct locational arbitrage goes thus:
Purchasing Malaysian ringgit (MYR) from bank A at the ask rate will be:
= $500,000/$0.305
= 1,639,344.3
Selling the Malaysian ringgit (MYR) at bank B based on the ask rate will be:
= 1,639,344.3 × 0.306
= $501,639.3
The profit for an investor that has $500,000 available to conduct locational arbitrage will be:
= $501,639.3 - $500,000
= $1639.3
Dddddddddddddddddddddddddddd
Answer:
It means exchange for good or service without using any money
Answer:
far fewer
Explanation:
Firms selling to organizational buyers have far fewer potential customers compared to firms selling to consumers.
In consumer markets, companies typically sell to large numbers of customers, with each customer accounting for a small proportion of the company’s sales. <u>In business markets, companies deal with smaller numbers of customers</u>; in some situations, large customers may account for a high percentage of sales.