26) Suppose you observe the following exchange rates: 1 = $.85; 1 - $1.60; and 2.00= 1.00. Starting with $1,000,000, how can you make money? A) Exchange $1m for 625,000 at 1 = $1.60. Buy 1,250,000 at 2 = 1.00; trade for $1,062,500 at 1 -5.85. B) Start with euros; exchange for pounds, exchange for dollars; exchange foreuros. Start with dollars, exchange for euros at 1 = $.85; exchange for pounds at 2.00 - 1.00; exchange for dollars at 1 = $1.60