Arbitrage results in a riskless profit because a trader purchases a currency at a low price and simultaneously resells it at a higher price.

Name: Arbitrage results in a riskless profit because a trader purchases a currency at a low price and simultaneously resells it at a higher price.
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Question

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This is the definition of arbitrage. By purchasing a currency at a low price and selling it at a higher price, a trader can make a riskless profit.

Arbitrage Results in a Riskless Profit Because a Trader Purchases