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Explain money-making arbitrage strategy

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Suppose you observe the following rates: Euro1.00/$ in New YorkEuro3.00/£ in Frankfurt $2.00/£ in London

Which of the following is NOT a money-making arbitrage strategy?

a. Sell £for $ in London, sell $ for Euro in New York, then sell Euro for £in Frankfurt.

b. Sell $ for £in London, sell £for Euro in Frankfurt, then sell Euro for $ in New York.

c. Sell £for Euro in Frankfurt, sell Euro for $ in New York, then sell $ for £in London.

d. Sell Euro for $ in New York, sell $ for £in London, then sell £for Euro in Frankfurt.

Reference no: EM132779926

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