4. Baylor Bank believes the US Dollar will appreciate over the next ten days from AUD1.10 to AUD1.12. The following annual interest rates apply:

Currency	Lending Rate	Borrowing Rate
US Dollars	6.80%	7.15%
Australian Dollar (AUD)	6.25%	6.85%

Baylor Bank has the capacity to borrow either AUD 10 million or $11 million. If Baylor Bank's forecast is correct, what will its Australian Dollar profit be from speculation over the ten-day period (assuming it does not use any of its existing consumer deposits to capitalize on its expectations)?