If the Direct Rate for French Francs (FF) Is

question 24

Multiple Choice

If the direct rate for French francs (FF) is $.143 and the direct rate for Australian dollars (A$) is $0.44, what must the cross rate between A$ and FF be to prevent triangular arbitrage?

• A) FF3.08
• B) FF0.063
• C) FF15.89
• D) FF0.325

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