Question
1. NASDAQ Call option for EUR with exercise price of $1.1333/EUR has a premium of $0.05/EUR. How much you have to pay to own 01
1. NASDAQ Call option for EUR with exercise price of $1.1333/EUR has a premium of $0.05/EUR.
How much you have to pay to own 01 contract?
2. NASDAQ Call option for EUR with exercise price of $1.2515/EUR has a premium of 0.07/EUR. If you buy 1 contract and you hold this contract till the expiration date. On that date, the spot price for EUR is $1.1122/EUR, what is your dollar profit/loss including the premium you paid (for the whole contract)?
3. NASDAQ Put option for AUD with exercise price of $0.8125/AUD has a premium of 0.02/ AUD. If you buy 1 contract and you hold this contract till the expiration date. On that date, the spot price for AUD is $0.9005 /AUD, what is your dollar profit/loss including the premium you paid (for the whole contract)?
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Fundamentals of Financial Management
Authors: Eugene F. Brigham
Concise 9th Edition
1305635937, 1305635930, 978-1305635937
