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An emergency can anyone assist me to solve this : Donny is an exchange rate trader based in Kuala Lumpur. He has received this information
An emergency can anyone assist me to solve this :
Donny is an exchange rate trader based in Kuala Lumpur. He has received this information on the exchange rates quoted by 3 different banks as follows:
| Bid | ||
| Bank A (MYR/SGD) | 3.0680 | 3.0701 |
| Bank B (USD/SGD) | 0.7220 | 0.7451 |
| Bank C (MYR/USD) | 4.2754 | 4.3456 |
Assume that he has MYR200,000 to be used as a starting amount to benefit from this pricing discrepancy. Calculate the triangular arbitrage profit. (13 marks)
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