John, a US investor, has $$1,000,000($or its Swiss franc equivalent$)$ for a short$-$term money market investment and wonders if he should invest in US dollars for $3$ months or make a covered interest arbitrage investment in the Swiss franc. John faces the following rates.

$\backslash$table$[[$Spot rate,SF $1\mathrm{.}3392/$$$],[$Three$-$month forward rate,SF $1\mathrm{.}3286/$$$],[$Three$-$month US interest rate,$4\mathrm{.}750\%$ per annum$],[$Three$-$month Swiss interest rate,$3\mathrm{.}625\%$ per annum$]]$

a$.$ Where do you recommend John to invest, and why? Provide relevant calculations to support your analysis.

b$.$ What is John's rate of return?

c$.$ Calculate the Swiss franc premium or discount against the US dollar.