Assume that you can buy 245 Canadian dollars with 100 British pounds.How much profit can you earn on a triangle arbitrage given the following rates if you start out with 100 U.S.dollars?

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Quizplus · Accepted Answer

[$100 F1F1F1S1F1F1F10 (C$1.35 F1F1F1S1F1F1F10 $1)F1F1F1S1F1F1F10 (£100 F1F1F1S1F1F1F10 C$245)F1F1F1S1F1F1F10 ($1.8305 F1F1F1S1F1F1F10 $1)] - $100 = $.86

Assume That You Can Buy 245 Canadian Dollars with 100