Calculate the Current Exchange Rate GBP/JPY,given These Two Quotes

question 28

Multiple Choice

Calculate the current exchange rate GBP/JPY,given these two quotes:
USD/JPY 114.20-30
GBP/USD 1.6750-60

• A) GBP/JPY 190.71-88
• B) GBP/JPY 191.29-57
• C) GBP/JPY 191.40-45
• D) GBP/JPY 192.07-24

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Definitions:

Resale Value

The estimated market value of an asset at the end of its useful life or lease term.

Depreciation Tax Shield

The reduction in income tax expense that results from the depreciation expense on capital assets, allowing companies to save money on taxes.

Marginal Tax Rates

The rate of tax applied to the last dollar of income, which can vary depending on the income level and filing status of an individual or entity.

Straight-Line

A method of calculating depreciation of an asset, where its cost is evenly spread over its useful life.