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On Commodity Exchange A is possible to buy and sell crude oil at $118 per barrel, while on Commodity Exchange crude oil can be bought
On Commodity Exchange A is possible to buy and sell crude oil at $118 per barrel, while on Commodity Exchange crude oil can be bought and sold at $119 per barrel. If there are transaction costs of 2% when buying or soling on the exchange, what is the net effect of buying a barrel of olon Exchange A and saling it on Exchange B? OA - $3.74 OB.-31.87 OC. $2.90 OD 1449
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