To calculate the rate to be charged the customer for issuing a bankers acceptance, the bank determines the rate for which it can sell its bankers acceptance in the open market. To this rate it adds ________.

Question

Quizplus · Accepted Answer

The bank adds a commission to the rate it can sell its bankers acceptance in the open market to calculate the rate to be charged to the customer. The other options (foreign tax, credit charge, acceptance charge) are not typically added in this calculation.

To Calculate the Rate to Be Charged the Customer for Issuing