This post provides the correct answer for the total pd.

This post provides the correct answer for the total pd.
A U.S. corporation has purchased currency call options to hedge a 70,000 pound payable. The premium is $.02 and the exercise price of the option is $.50. If the spot rate at the time of maturity is $.65, what is the total amount paid by the corporation if it acts rationally? (Please ignore the time value of premium)

33,600
46,900
36,400
44,100

ORDER A SIMILAR ESSAY WRITTEN FROM SCRATCH at : https://www.topgradehub.com/

PLACE YOUR ORDER