Question Details

"Dumping" is used in the text to represent 



1. "Dumping" is used in the text to represent the: 
A) exporting of goods that do not meet quality standards. 
B) sales of junk bonds to foreign countries. 
C) removal of foreign subsidiaries by the host government. 
D) exporting of goods at prices below cost.


2. Assume that a bank's bid rate on Japanese yen is $.0041 and its ask rate is $.0043. Its 
bid-ask percentage spread is: 
A) about 4.99%. 
B) about 4.88%. 
C) about 4.65%. 
D) about 4.43%.
SOLUTION: Bid-ask percentage spread = ($.0043 - $.0041)/$.0043 = 4.65%

3. The bid/ask spread for small retail transactions is commonly in the range of ______ 
percent; the bid/ask spread for wholesale transactions is commonly in the range of 
______ percent. 
A) 3 to 7; .01 to .03 
B) 2 to 5; .05 to .10 
C) 10 to 15; .01 to .03 
D) 1 to 2; .05 to .07

4. _______is not a factor that affects the bid/ask spread. 
A) Order costs 
B) Inventory costs 
C) Volume 
D) All of the above factors affect the bid/ask spread

5. The ask quote is the price for which a bank offers to sell a currency. 
A) true. 
B) false.



Business Management Assignment Help, Business Management Homework help, Business Management Study Help, Business Management Course Help