Which of the Following Is an Example of Interest Arbitrage

question 21

Multiple Choice

Which of the following is an example of interest arbitrage?

• A)investing in debt instruments in different currencies or different countries
• B)selling U.S. dollars for Swiss francs, then selling Swiss francs for British pounds, then selling British pounds for U.S. dollars
• C)investigating different commercial banks to find the best exchange rate
• D)an American investing in a London-based company

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Definitions:

Mitosis

A type of cell division that results in two daughter cells each having the same number and kind of chromosomes as the parent nucleus, typical of ordinary tissue growth.

Meiosis

Meiosis is a type of cell division that reduces the chromosome number by half, resulting in the production of haploid gametes or spores.

Fertilization

The process of combining male (sperm) and female (ovum) gametes to form a zygote, initiating embryonic development in sexually reproducing organisms.

Sporogenesis

The process of spore formation, especially in fungi, algae, mosses, and ferns.