Question: Problem 1: Suppouse a foreign exchange trader has given you the following currency exchange rates and cross rate. 1. : DKr 5.3021-33 2. $: E

Problem 1: Suppouse a foreign exchange trader has given you the

Problem 1: Suppouse a foreign exchange trader has given you the following currency exchange rates and cross rate. 1. : DKr 5.3021-33 2. $: E 0.6502-10 Given the two exchange rate quotations, find the theoretical cross rate E/DKr or what is the same, find the bid and the ask cross rates for the DKr DKr: E

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