Anton, a foreign exchange trader at Credit Suisse (Tokyo), is exploring covered interest arbitrage possibilities. He wants to invest $5,000,000 or its yen equivalent, in a covered interest arbitrage between U.S. dollars and Japanese yen. He faces the following exchange rate and interest rate quotes. Please answer the following question. How much will be the profits or losses from a CIA transaction for Anton?

		Profits $55,000
		Losses $55,000
		Profits $72,000
		Losses $72,000
		None of the above