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Determine the percentage return for the trader

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Reference no: EM132524547

At a particular time, exchange rates between the Australian Dollar,

Euro, and U.S. Dollar quoted by three banks are as below:

Bank A: $0.5880/A$

Bank B: €0.7143/A$

Bank C: $1.09/€

If an Australian trader has A$1.5m available to invest, determine the percentage return for the trader if making a profit through a triangular arbitrage strategy is possible.

Reference no: EM132524547

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