You own $7,000. The dollar rate in Tokyo is 216.2463 Y/$. The Yen rate in New York is given in the following table: COUNTRY-CURRENCY CONTRACT $/FOREIGN CURRENCY Canadadollar Spot .8432 30-day .8415 90-day .8393 Japanyen Spot .004678 30-day .004710 90-day .004767 Switzerlandfranc Spot .5165 30-day .5200 90-day .5449 Are arbitrage profits possible? Set up an arbitrage scheme with your capital. What is the gain (loss) in dollars? Hint: Compare the Tokyo's direct quote with the New York's indirect quote. Assuming no transaction costs, the rate between Tokyo and New York are out of line. Therefore, arbitrage profits are possible. Is the above statement true or false? PLEASE STATE IF IT IS TRUE OR FALSE.