Assume the bid rate of a Swiss franc is $0.404 while the ask rate is $.475 at Bank X. Assume the bid rate of the Swiss f

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answerhappygod
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Assume the bid rate of a Swiss franc is $0.404 while the ask rate is $.475 at Bank X. Assume the bid rate of the Swiss f

Post by answerhappygod »

Assume the bid rate of a Swiss franc is $0.404 while the ask
rate is $.475 at Bank X. Assume the bid rate of the Swiss franc is
$.460 while the ask rate is $0.479 at Bank Y. Given this
informa­tion, what would be your gain or loss if you use $4,800,000
and execute locational arbitrage?
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