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Q1 The following bid-ask rates are offered by three banks: Bid - Ask Bank X GBP/USD 1.2000 -1.2300 Bank Y USD/MYR 4.0000- 4.1500 Bank Z

Q1 The following bid-ask rates are offered by three banks:

Bid - Ask

Bank X GBP/USD 1.2000 -1.2300 Bank Y USD/MYR 4.0000- 4.1500 Bank Z GBP/MYR 5.2300 -5.2550

Calculate the triangular arbitrage by starting with GBP100.

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