You find the one$-$year interest rate in the US is $3\%$ and the one$-$year interest rate in Italy is $7\%.$ The spot rate for Euro is $1\mathrm{.}05$ USD$/$EUR$,$ and the $90-$day EUR forward rate is $1\mathrm{.}055$ USD$/$EUR$.$

How much risk$-$free arbitrage profit can you make $($if you can borrow up to $1$ million USD or equivalent value of Euros$)?$

A$.$

$$14,845$

B$.$

$$45,095$

C$.$

$$119,636$

D$.$

No arbitrage profit can be made.