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Casper Landston-UIA (B). Casper Landsten is a foreign exchange trader for a bank in New York. Using the values and assumptions below, he decides to

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Casper Landston-UIA (B). Casper Landsten is a foreign exchange trader for a bank in New York. Using the values and assumptions below, he decides to sook the full 4.804% return available in U.S. dollars by not covering his forward dollar receipts--an uncovered interest arbitrago (UIA) transaction. Assess this decision Arbitrage funds available $ 1,100,000 Spot exchange rate (SFF/$) 1.2009 3-month forward rate (SFr($) 1.2738 Expected spot rate in 90 days (SFr/S) 1.2699 U.S. Dollar annual interest rato 4.804% Swiss franc annualinterest rate 3.197% The uncovered interest arbitrage (UIA) profit amount is $ ) (Round to the nearest cont.)

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