Which of the statements below is TRUE?
A) The foreign rate is derived by pricing two currencies against a third.
B) All domestic rates can be computed using a setup with American rates and European rates with the U.S.dollar as the home currency.
C) The opportunity to make a profit without risk by exchanging three currencies is known as triple arbitrage.
D) When cross rates are out of line,there can be an arbitrage opportunity.
Correct Answer:
Verified
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A)The
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