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2. Given the following three currency quotes given by a U.S. bank and a London bank: $1.0641/SF 0.7940/SF I $1.3080/ Please answer parts (a) and

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2. Given the following three currency quotes given by a U.S. bank and a London bank: $1.0641/SF 0.7940/SF I $1.3080/ Please answer parts (a) and (b) in the order they are given. a Show whether there is an arbitrage opportunity implied in these three quotes, b. Starting with a nominal $34 million, show how much arbitrage profit (if any) you can make by trading the currencies at the given rates

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