On the Tokyo Stock Exchange, Honda Motor Company stock closed at 2,717 per share on Thursday, July

Question:

On the Tokyo Stock Exchange, Honda Motor Company stock closed at ¥2,717 per share on Thursday, July 29.2010. Honda trades as an ADR on the NYSE. One underlying Honda share equals one ADR. On July 29, 2010, the ¥/$ was ¥86.7750/$1.00.
a. At this what is the no-arbitrage U.S. dollar price of one ADR?
b. By comparison, Honda ADRs traded at $30.96. Do you think an arbitrage opportunity exists?

Exchange Rate
The value of one currency for the purpose of conversion to another. Exchange Rate means on any day, for purposes of determining the Dollar Equivalent of any currency other than Dollars, the rate at which such currency may be exchanged into Dollars...