Melissa, a foreign-exchange trader, wants to buy euros from Stephanie.Which of the following is the price at which Melissa is willing to buy euros?
A)spread
B)offer
C)bid
D)cross rate

Question

Quizplus · Accepted Answer

The price at which Melissa is willing to buy euros is called the bid price. Therefore, the correct choice is C) bid. The spread is the difference between the bid and offer prices, the offer price is the price at which Melissa could sell euros, and cross rate is the exchange rate between two currencies that are not the domestic currency of the country in which the quote is given.

Melissa, a Foreign-Exchange Trader, Wants to Buy Euros from Stephanie