Which of the Following Demonstrates an Arbitrage Opportunity

question 24

Multiple Choice

Which of the following demonstrates an arbitrage opportunity?

• A)Buying and selling the same (or similar)goods until a profit is made
• B)Buying a currency with the belief that its value will appreciate in the near future
• C)Investing in an economy that is experiencing rapid economic growth
• D)Buying a good in one market and selling the exact same good in another market at a higher price

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Definitions:

2-Bromo-2-methylpentane

An organic compound consisting of a six-carbon chain with a bromo substituent and a methyl group both located on the second carbon atom.

Potassium Tert-butoxide

A strong, non-nucleophilic base used in organic synthesis to deprotonate compounds.

Major Product

The substance that is formed in the greatest amount during a chemical reaction, indicating the most favored pathway.

Boiling Point

The temperature at which a substance transitions from the liquid phase to the gas phase under atmospheric pressure.