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The USD/MXN spot FX is 18.91. You can borrow or deposit USD for one year at...

The USD/MXN spot FX is 18.91. You can borrow or deposit USD for one year at 2.36%. You can borrow or deposit MXN for one year at 8.12%. You get a 1-year FX forward quote from a bank of 20.75 USD/MXN. What is your gain/loss position in millions of USD if you borrow USD 100 mil., convert USD/MXN spot, lend MXN, and lock in your FX rate using the 1-year forward contract? Take to 4 decimals.

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jeff jeffy answered 4 months ago
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