You execute a carry trade in which you borrow $10,000$ British pounds and invest in euros. You also use $$10,000$ of your own money. The duration of the trade is one year. The interest rates and exchange rates are shown in the following:

Pound interest rate: $4\%$

Euro interest rate: $6\%$

Current spot rate: $$1\mathrm{.}20=1$ and $1\mathrm{.}30=1$

You use the current exchange rates as forecasts for those in one year.

What profit would you expect as a percentage of your own fund?

Select one:

a$.8\mathrm{.}34\%$

b$.9\mathrm{.}12\%$

c$.10\%$

d$.9\mathrm{.}56\%$

e$.8\mathrm{.}76\%$