Final answer:
The exchange rate quoted to sell 500 Mio JPY for delivery 3 months forward is 127.61 JPY per USD. The customer TBI International inc will receive approximately 498,801,692.09 USD in 3 months' time.
Step-by-step explanation:
To determine the exchange rate at which the customer TBI International inc can sell 500 Mio JPY for delivery 3 months forward, we need to calculate the forward exchange rate using the given forward points.
The bid rate for 3 months forward is 41, so we subtract this value from the spot bid rate of 128.02 to get the forward bid rate. This gives us a forward bid rate of 128.02 - 0.41 = 127.61 JPY per USD.
To calculate the amount of USD that the customer TBI International inc will receive in 3 months' time in exchange for the 500 Mio JPY, we multiply the amount of JPY by the forward bid rate. 500,000,000 JPY * 127.61 JPY per USD = 63,805,000,000 JPY.
Converting this amount to USD using the spot ask rate of 128.06 JPY per USD, we get 63,805,000,000 JPY / 128.06 JPY per USD = 498,801,692.09 USD.
Therefore, the customer TBI International inc will receive approximately 498,801,692.09 USD in 3 months' time.