Question
Calculate the direct exchange rate between INR and HKD
from the following information Spot INR/GBP = 100.82 Spot HKD/GBP = 10.71 Forward Rate INR/GBP = 106.82 Forward Rate HKD/GBP = 11.71Solution
Since the direct quote for HKD and INR is not available it will be calculated by cross exchange rate as follows: INR/HKD = INR/GBP x GBP/HKD = 100.82 /10.71 = 9.41
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