If CIBC Posts 1

question 13

Multiple Choice

If CIBC posts 1.10 CA$/US$ - 1.14 CA$/US$ bid-ask exchange rates,Scotiabank posts 1.12 CA$/US$ - 1.15 CA$/US$ bid-ask exchange rates,and RBC posts 1.13 CA$/US$-1.16 CA$/US$ bid-ask exchange rates,which of the following statements is correct:

• A) You can make an arbitrage by exchanging CA$ for US$ at CIBC and then exchanging US$ for CA$ at RBC
• B) You can make an arbitrage by exchanging US$ for CA$ at CIBC and then exchanging CA$ for US$ at RBC
• C) You can make an arbitrage but none of these strategies allows you to make the arbitrage
• D) Arbitrage is not possible

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Definitions:

Tuberculosis

A serious infectious disease caused by the bacterium Mycobacterium tuberculosis, primarily affecting the lungs but can spread to other organs.

Positive Predictive Value

The proportion of positive test results that are true positives, indicating the likelihood that a person with a positive test actually has the disease.

Specificity

The capacity of an examination to accurately detect individuals who do not have the condition, known as the true negative rate.

Digital Rectal Exam

A manual examination performed by inserting a lubricated, gloved finger into the rectum to check for abnormalities of organs or other structures in the pelvis and lower belly.