The current exchange rate is £1.00 = $2.00. Compute the correct balances in Bank A's correspondent account(s) with Bank B if a currency trader employed at Bank A buys £45,000 from a currency trader at Bank B for $90,000 using correspondent relationship with Bank B: O a. Bank A's pound-denominated account at B will rise by £45,000. O b. Bank B's dollar-denominated account at A will fall by $90,000. O. Bank B's pound-denominated account at A will rise by £45,000. O d. Bank A's dollar-denominated account at B will rise by $90,000.

The current exchange rate is £1.00 = $2.00. Compute the correct balances in Bank A's correspondent account(s) with Bank B if a currency trader employed at Bank A buys £45,000 from a currency trader at Bank B for $90,000 using correspondent relationship with Bank B: O a. Bank A's pound-denominated account at B will rise by £45,000. O b. Bank B's dollar-denominated account at A will fall by $90,000. O. Bank B's pound-denominated account at A will rise by £45,000. O d. Bank A's dollar-denominated account at B will rise by $90,000.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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