Problem $3$ The current exchange rate between Korean Won $($KRW$)$ and Hong Kong

Dollar $($HKD$)$ is $140KRW$ per HKD$.$ Moreover, the risk$-$free rates per annum compounded

continuously in KRW and HKD are given by $5\%$ and $3\%$ respectively. Lee Hyori, a Korean,

observes that the $2-$year forward exchange rate is $150KRW$ per HKD$.$ Help her to exploit

arbitrage profit by constructing a trading strategy. $($In each action, state clearly what

currencies you are dealing with.$)$