Question
A bank is quoting the following Japanese Yen (JPY) and Australian dollar (AUD) bid and ask rates against the US dollar: Bid Ask JPY JPY
A bank is quoting the following Japanese Yen (JPY) and Australian dollar (AUD) bid and ask rates against the US dollar:
| Bid | Ask | |
| JPY | JPY 111.10/$ | JPY 111.20/$ |
| AUD | AUD 1.3770/$ | AUD 1.3780/$ |
An Australian firm is interested in what a bank would quote for the bid and ask cross JPY/AUD rates. If Triangular Arbitrage has eliminated arbitrage opportunities, what are the JPY/AUD (#JPY per 1AUD) bid and ask rates the bank should quote?
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Investing In Real Estate Private Equity
Authors: Sean Cook
1st Edition
1980587027, 978-1980587026
