Assume the following information: Given this information, is locational arbitrage possible? If so, explain the steps involved
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Given this information, is locational arbitrage possible? If so, explain the steps involved in locational arbitrage, and compute the profit from this arbitrage if you had $1 million to use. What market forces would occur to eliminate any further possibilities of locationalarbitrage?
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Beal Bank Bid price of New Zealand dollar $401 Ask price of New Zealand dollar $.404 Yardley Bank $398 $.400
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