Question: Required A Required C Explain how IRP will be restored as a result of arbitrage transactions you carry out above. 2 7 : 1 9

Required A
Required C
Explain how IRP will be restored as a result of arbitrage transactions you carry out above.
27:19
Arbitrage transactions
The U.S. dollar interest rate will rise; The Australian dollar interest rate will fall; The spot exchange rate will rise; The forward exchange rate will fall.
The U.S. dollar interest rate will rise; The Australian dollar interest rate will fall; The spot exchange rate will fall; The forward exchange rate will rise.
The U.S. dollar interest rate will fall; The Australian dollar interest rate will rise; The spot exchange rate will rise; The forward exchange rate will fall.
The U.S. dollar interest rate will fall; The Australian dollar interest rate will rise; The spot exchange
Required A Required C Explain how IRP will be

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