1. Suppose that the spot price of the Canadian dollar is US $0.75 and the Canadian / US dollar exchange rate has a volatility of 4% per annum. The risk free rates in Canada and US are 9% and 7% per annum respectively. a. Calculate the value of a European call option to buy 1 Canadian dollar for US $0.75 in nine months. b. Use put-call parity to calculate the price of a European put option to sell 1 Canadian dollar for US $0.75 in nine months