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DK Investment Co is a US firm that executes a carry trade in which it borrow euros ( where interest rates are presently low )

DK Investment Co is a US firm that executes a carry trade in which it borrow euros (where interest rates are presently low) and invests in British pounds (where interest rates are presently high). DK Investment uses $100,000 of its own funds and borrow an additional euro 600,000. It will pay 0.5% on its euro borrowed for the next month and will earn 1.0% per month on funds invested in UK (British pounds). Assume the euro spot rate is $1.3euro British pound's spot rate is $1.8bp(so pounds is worth 1.38 euro) and after one month, the FX rates will be the ame. What will be DK Investment Net US$ profit from this carry trade investment?

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