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Suppose that you are a trader in the United States (US) and you see the following quotes on your screen: Spot exchange rate 0.6815 US

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Suppose that you are a trader in the United States (US) and you see the following quotes on your screen: Spot exchange rate 0.6815 US dollar (USD) per Australian dollar (AUD) 180-day forward rate 0.6805 USD per AUD (USD/AUD) 180-day AUD interest rate 2% per annum (p.a.) 180-day USD interest rate 1% p.a. Suppose that you have USD 800,000. Can you make a profit (in USD) with these quotes? Show your working clearly and completely

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