for this trading opportunity i am required to perform the necessary calculations in order to identify a mispricing (this example may not have a mispricing however the question still asks for the calculations that would be needed to find mispricing if there was one)

as well as an aribtrage strategy that would make a risk free profit.

Opportunity 1: Currency trading On a currency market, the following currency exchange rates are listed. GBP USD EUR CHF 1 GBP = 1.0000 1.2689 1.1567 1.3299 1 USD = 0.7881 1.0000 0.9116 1.0481 1 EUR 0.8645 1.0970 1.0000 1.1498 1 CHF 0.7519 0.9541 0.8697 1.0000 Opportunity 1: Currency trading On a currency market, the following currency exchange rates are listed. GBP USD EUR CHF 1 GBP = 1.0000 1.2689 1.1567 1.3299 1 USD = 0.7881 1.0000 0.9116 1.0481 1 EUR 0.8645 1.0970 1.0000 1.1498 1 CHF 0.7519 0.9541 0.8697 1.0000