1) The exchange rates in New York are: $1 = AUD 1.2649 and $1 = £0.6223
A dealer is offering a quote: AUD 1 = £0.8687.
What is the profit you can earn on $10,862 using triangle arbitrage?
Enter your answer round off two two decimal points.
2) Suppose you have the following information:
$1 = £0.8666
$1 = C$1.214
What is the £/C$ cross rate?
Enter your answer rounded off to FOUR decimal points. Do not enter any currency sign in the answer box.