Suppose that the yen is pegged to gold at $4,000$ per ounce and the dollar is pegged to gold at $$35$ per

ounce.

a$.$ What is the implied exchange rate between the yen and the dollar $($JPY$/$USD$)?$

b$.$ If the current market exchange rate is $\frac{116}{\text{\$}}$ and you have $$1,000,000,$ describe how you would take

advantage of this situation $($in steps$)$ and compute your arbitrage profit. Ignore any transaction cost.