Assume that the spot rate for the euro/US dollar exchange rate is currently $1.40 and the British pound/US dollar exchange rate is $1.55. a. What is the cross-exchange rate? b. If you find the...

Assume that the spot rate for the euro/US dollar exchange rate is currently $1.40 and the British pound/US dollar exchange rate is $1.55. a. What is the cross-exchange rate? b. If you find the cross-exchange rate to be 1.109, can you make profits by applying triangular arbitrage? Show your calculations. Assume you invest $10,000.