_____ occurs when an individual or business capitalizes on a price differential for a firm's product between two countries by purchasing the product in the country where prices are lower and reselling it in the country where prices are higher.
A)Leveraged buyout
B)Convergence trade
C)Purchasing power parity
D)Arbitrage

Question

Quizplus · Accepted Answer

Arbitrage occurs when an individual or business capitalizes on a price differential for a firm's product between two countries by purchasing the product in the country where prices are lower and reselling it in the country where prices are higher.

_____ Occurs When an Individual or Business Capitalizes on a Price