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2a) In Malaysia, the spot exchange rate is quoted at RM3.1000/20USS and RM3.8500/15/ . If the RM spot rate were quoted at 0.2602/24/RM in Germany,

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2a) In Malaysia, the spot exchange rate is quoted at RM3.1000/20USS and RM3.8500/15/ . If the RM spot rate were quoted at 0.2602/24/RM in Germany, determine the ways an arbitrageur trade in order to make profit. (Note: Show all calculation) (6 marks) 2b) Given the following information, compute NZD/SGD bid and ask quotations. (6 marks) 2c) Compute the bid and offer USS/ spot rate quoted in Malaysia. (3 marks) Bid and offer USS/ spot quoted in Malaysia: RM3.100020/USS RM3.8500/15/ 2a) In Malaysia, the spot exchange rate is quoted at RM3.1000/20USS and RM3.8500/15/ . If the RM spot rate were quoted at 0.2602/24/RM in Germany, determine the ways an arbitrageur trade in order to make profit. (Note: Show all calculation) (6 marks) 2b) Given the following information, compute NZD/SGD bid and ask quotations. (6 marks) 2c) Compute the bid and offer USS/ spot rate quoted in Malaysia. (3 marks) Bid and offer USS/ spot quoted in Malaysia: RM3.100020/USS RM3.8500/15/

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