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muestion 30 You observe the following quotes for $/. Exchange Rates One Year Interest Rates S $1.18/ is 2.6% pa F360 $1.25/ le 1.6% pa.

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muestion 30 You observe the following quotes for $/. Exchange Rates One Year Interest Rates S $1.18/ is 2.6% pa F360 $1.25/ le 1.6% pa. Assuming you can borrow $1,000,000 or 1,000,000, what is your arbitrage proht? (Interest rates compounded annually) 50,271 $50,271 66,896 D$66,896

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