If the Exchange Rate in New York for British Pounds

question 111

Multiple Choice

If the exchange rate in New York for British pounds sterling is quoted at 1 pound = $1.60, and in London the rate is quoted at 1 pound = $1.62, financial arbitragers might

• A) buy pounds in New York.
• B) sell dollars in London.
• C) simultaneously sell pounds in New York and buy dollars in London.
• D) simultaneously buy pounds in New York and sell dollars in London.

---

Definitions:

Geographic Location

The specific physical position of a place or entity on Earth, often defined by latitude and longitude.

Heritage Of Literature

The collection of written works that are valued for their artistic, historical, or cultural significance, forming a part of a society's cultural legacy.

Books

Written or printed works consisting of pages glued or sewn together along one side and bound in covers.

Periodicals

Publications, such as magazines or journals, that are issued at regular intervals over time.