If the market rate for 90-day B/As is 6.0 percent,calculate the amount the exporter will receive if he discounts the B/A with the importer's bank.(Assume 360 days in a year)

Name: If the market rate for 90-day B/As is 6.0 percent,calculate the amount the exporter will receive if he discounts the B/A with the importer's bank.(Assume 360 days in a year)
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Quizplus · Accepted Answer

If the exporter discounts the B/A with the importer's bank he will receive:$3,000,000 × [1 - ((0.060 + 0.0125) × 90/360)] = $2,945,625

If the Market Rate for 90-Day B/As Is 6