1.

Auric Goldfinger is a currency trader who holds a put option with a strike price of $0.014/INR at an option premium of $0.0005 per Indian Rupee (INR), and an expiration date of 200 days from today. The option is for INR2.5 million. What is the gain or loss to Auric on expiration of the option if the spot rate at maturity is INR83/$?

Group of answer choices

$2,500 loss

$3,750 loss

$2,500 gain

$0

$3,750 gain

2.

Anton Murik has entered a futures contract to sell MXN$6 million in 120 days at $0.05/MXN. What would be the profit or loss on Antons futures position when the spot rate is $0.045/MXN?

Group of answer choices

$3,000 gain

$30,000 gain

$3,000 loss

$30,000 loss

$0