1.In contemplating the funding of your bank in this Round, the euro/U.S.$ exchange rate is 1.1/U.S.$ in New York but 1.05/U.S.$ in London.What do you think would occur? highlight your answer

A.	people sell U.S. dollars and buy euros in New York and then sell those euros and buy $'s in London.
B.	people sell euros and buy U.S. dollars in New York and then buy those euros and sell $'s in London.
C.	the price differential between the two markets increases as people seek to take advantage of the situation .
D.	the dollar should appreciate in New York relative to the euro.