Chronological Order of Historical EventsOnline version In this game, players must correctly order a list of significant historical events based on their occurrence in time. The goal is to arrange them from the earliest to the most recent. by Kumaresan Moorthy 1 1.What is triangular arbitrage? Buying and holding a single currency over time Exploiting discrepancies among three currency exchange rates to earn a riskless profit Speculating on future currency movements to earn profits Trading stocks on currency fluctiations 2 2.Why can triangular arbitrage opportunities still appear in highly efficient foreign exchange markets? Exchange is always fixed by central banks Temporary rate misalignments due to data latency, rounding errors, or quotes from different sources Currency prices never change quickly Traders deliberately create mispricing for profit 3 3.How do cross rates help traders identify triangular arbitrage opportunities? By providing interest rates on foreign currencies By comparing the direct cross rate to the implied cross rate calculated from two other currency pairs By predicting future exchange rate trends By setting fixed exchange rates for all currency pairs 4 4.Which factor does NOT typically eliminate triangular arbitrage opportunities quickly? High-speed algorithmic trading Rapid dissemination of information High market liquidity and competition Slow manual price adjustments 5 5.Given: EUR/USD = 1.2000, USD/JPY = 110.00, EUR/JPY = 132.00. Is there an arbitrage opportunity? No, because the implied EUR/JPY equals the quoted EUR/JPY Yes, profit of €1,000,000 possible Yes, but the profit is negligible No, because the actual EUR/JPY is less than the implied