3. Suppose the spot exchange rate on the Japanese yen is 108/$ whereas the 90-day forward rate on this currency is 106/$. The annualized 90-day interest rate in Tokyo is 2 percent. In New York, the annualized 90-day interest is 5 percent. a. Do you see and interest arbitrage opportunity between New York and Tokyo. If yes, determine the potential profit an arbitrager can make on $1,000,000. b. If your answer to a was yes, at what forward rate the arbitrage opportunity would disappear?