Suppose that the current spot exchange rate is $1\mathrm{.}555$ per $$ and the one$-$year forward exchange rate is $1\mathrm{.}65$ per $.$ The one$-$year interest rate is $5\mathrm{.}4\%$ in euros and $5\mathrm{.}2\%$ in pounds. You can borrow at most $1,000,000$ or the equivalent pound amount, i$.$e$.,643,087,$ at the current spot exchange rate.