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Pick three currencies you are interested in. Search online for the current bid and ask prices for all their Forex rate (i.e., if you picked

Pick three currencies you are interested in. Search online for the current bid and ask prices for all their Forex rate (i.e., if you picked the USD, AUD, and CAD you should find quotes for the AUD/USD, CAD/USD, and AUD/CAD).

Then, pick one exchange rate, and compute the cross-rate implied by the no-arbitrage condition. Does it hold? If not, why?

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