Let say you have the following information:

The exchange rate between US dollar and Swiss Franc are:

CHF0.8/$ for the spot rate, and 3-month forward rate is CHF0.7813/$.

The 3-month interest rates are:

US: 5.6% per annum

Switzeralnd: 5.4% per annum

The capacity of loan is up to $1,000,000

1. Assume that you want to realize profit in terms of US dollar. Prove the existence of arbitrage profit in USD (United States of America)
2. Assume that you want to realize profit in terms of Swiss Franc. Prove the existence of arbitrage profit in CHF (Switzerland)