1 Arbitrage 25 points a) (5 points) Simple arbitrage: Suppose that the spot exchange rate is $1.35/$ in Singapore and $1.33/$ in Tokyo. Explain the process you would use to make money from this discrepancy. b) (4 points) How much profit could you make in the above situation if you have $10,000? c) (5 points) Would you make the same amount of profit if one of the prices quoted above was a forward market rate for 6 months from now? d) (6 points) If you saw the following information, explain the process you would use to make money from this situation assuming that you have US dollars right now. eur to usd News Shopping Maps Books More Bettings Tools About 14,100,000 suits (D.37 seconds) 1 Euro equals BITCOIN EXCHANGE YOU CAN TRUST 1.20 US Dollar SIGNIN REGISTER Euro 14 4 1.20 Us Dela 10 2014 2015 2016 2017 2018 New User Registrations Are Temporarily Suspended Read More XE: Convert EUR/USD. Euro Member Countries to United States Dollar WWW.DR.com> XE Cumancy Converter - Live Rates - TUR to USD currency converter, Get live exchange rates for Euro Member Countries to United States BITCOIN PRICE Dollar. Use XE's free calculator to comeart foreign currencies and precious metals. 15841.16 USD EUR to USD Exchange Rate - Bloomberg Markets http:/www.bloomberg.com/quote/EURUSD CUR = BITCOIN PRICE Current sachange rate EURO (BUR] to US DOLLAR USD) including currency converter, buying & selling rate and historical conversion chart. 12398.98 FUR In case you have trouble reading the image above, the exchange rates are: $1.20/6, 15,841.16 $/BTC. and 12,398.98 e) (3 points) Why do you think it was possible for a situation like the one in the previous part to exist? f) (2 points) How much profit could you make in the above situation if you have $10,000