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1. Currency Option (5 points) Suppose you are a Korean investor who wants to buy a call option for euro. Strike price: W1,500/ Call premium:

1. Currency Option (5 points) Suppose you are a Korean investor who wants to buy a call option for euro. Strike price: W1,500/ Call premium: W15/ Draw a graph that shows specific exchange rates for break-even price and strike price. Also identify the range of in-the-money, out-of-the- money, and at-the-money. Profit(Loss Spot Rate )

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