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.

In case you have trouble reading the image above, the exchange rates are:

$1.20/euro, 15,841.16$/BTC, and 12,398.98 euro/BTC.

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?

Please help me thoroughly understand the following. I have seen many diff calculations for the following and it has left me confused.