Triangle Arbitrage: I.is a Profitable Situation Involving Three Separate Currency Exchange Transactions

question 89

Multiple Choice

Triangle arbitrage:
I.is a profitable situation involving three separate currency exchange transactions.
II.helps keep the currency market in equilibrium.
III.opportunities can exist in either the spot or the forward market.
IV.is based solely on differences in exchange ratios between spot and futures markets.

• A)I and IV only
• B)II and III only
• C)I, II, and III only
• D)II, III, and IV only
• E)I, II, III, and IV

---

Definitions:

Ethnomethodologists

Sociologists who study how people use everyday social interactions to construct a shared social reality.

Ethnomethodologists

Scholars who study how people use everyday interactions to construct a shared social reality.

Institutions

Structures or mechanisms of social order and cooperation governing the behavior of a set of individuals within a given human community.

Ethnomethodological

Pertaining to a sociological approach that studies the methods people use in everyday life to create a sense of social order and understanding.