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    Cross rates

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    Spot Quotes:
    USD/EUR 1.2823-27
    YEN/USD 107.48-53
    USD/GBP 1.8235-40
    CAD/USD 1.2235-42
    Calculate the following cross rates:
    YEN/CAD, EUR/GBP, CAD/GBP, EUR/CAD

    © BrainMass Inc. brainmass.com April 3, 2020, 2:14 pm ad1c9bdddf
    https://brainmass.com/economics/international-economies/cross-rates-28551

    Solution Preview

    YEN/CAD
    (YEN/CAD)bid = (YEN / USD )bid x ( USD / CAD) bid
    But ( USD / CAD) bid = 1/ (CAD/USD) ask
    Therefore
    (YEN/CAD)bid = (YEN / USD )bid / ( CAD / USD) ask
    (YEN/CAD)bid = 87.80 =107.48/1.2242

    Similarly
    (YEN/CAD)ask = (YEN / USD )ask x ( USD / CAD) ask
    But ( USD / CAD) ask = 1/ (CAD/USD) ...

    Solution Summary

    The solution calculates cross rates, given spot quotes.

    $2.19

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