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3I0-012 · Question #283

You quote spot EUR/USD at 1.3023-26 in 5 to another bank. He says, "Take 5, could do 8". How much are you obliged to do?

The correct answer is B. EUR 5,000,000.00. See the full explanation below for the reasoning.

Question

You quote spot EUR/USD at 1.3023-26 in 5 to another bank. He says, "Take 5, could do 8". How much are you obliged to do?

Options

  • ANothing, as he changed the terms of the deal
  • BEUR 5,000,000.00
  • CMore than EUR 5,000,000.00, but a maximum of EUR 8,000,000.00
  • DEUR 8,000,000.00

How the community answered

(63 responses)
  • A
    5% (3)
  • B
    84% (53)
  • C
    3% (2)
  • D
    8% (5)

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