Determine how to make arbitrage profit, Microeconomics

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Determine how to make arbitrage profit

Problem: You are a foreign exchange trader and you receive the following two quotes for spot trading: Bank A is willing to trade at $1.50 per Swiss franc; Bank B is willing to trade at 0.50 Swiss franc per dollar. Is there an opportunity to make an arbitrage profit? If there is, explain what you will do. If there is not, why not?

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Microeconomics: Determine how to make arbitrage profit

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Microeconomics: Determine how to make arbitrage profit

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