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    International Cross-exchange rates

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    A dealer in Australia quotes A$1.7430-40/$,
    A dealer in Paris quotes $0.8610-20/euro.
    A dealer in Germany quotes euro 0.6667-76/A$.

    What should the German dealer quote to prevent any arbitrage?

    © BrainMass Inc. brainmass.com March 6, 2023, 1:14 pm ad1c9bdddf
    https://brainmass.com/business/foreign-exchange-rates/international-cross-exchange-rates-9489

    Solution Preview

    Hello,

    Assuming you are asking what the German dealer should quote Euros per USD.

    The formula below is how you find the cross ...

    Solution Summary

    The international cross-exchange rates are analyzed. The formula below is how you find the cross rates between currencies.

    $2.49

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