Question
Which of the following best describes the concept of
arbitrage in finance?Solution
Arbitrage is a trading strategy used in finance where an investor takes advantage of price differences of the same asset between two or more markets. The investor buys the asset in the market where it is undervalued and immediately sells it in the market where it is overvalued, making a profit from the difference in prices. The key to successful arbitrage is to act quickly, as the price difference is usually small and the opportunity to make a profit is fleeting.
In the question, two equations I and II are given. You have to solve both the equations to establish the correct relation between 'p' and 'q' and choose...
I. x2 – 9x + 18 = 0
II. y2 – 5y + 6 = 0
I. 2x2 – 10x – 48 = 0
II. y2 – 16y – 297 = 0
I. 165x² + 97x + 10 = 0
II. 117y² - 163y + 56 = 0
Solve the quadratic equations and determine the relation between x and y:
Equation 1: x² - 24x + 143 = 0
Equation 2: y² - 26y + 165 = 0
Equation 1: x² - 90x + 2025 = 0
Equation 2: y² - 88y + 1936 = 0
If α, β are the roots of the equation x² – px + q = 0, then the value of α2+β2+2αβ is
...I. 27x² + 120x + 77 = 0
II. 56y² + 117y + 36 = 0
I. 96x² + 52x - 63 = 0
II. 77y² + 155y + 72 = 0
I. √(17x) + √51 = 0
II. √(4y) + 3 = 0