1. You have purchased a European style Put option (one contract) on the Euro at a strike price (exercise price) of 1.5000 = 1. You have paid a premium of 1.20 Euro cents for this option. On the exercise date, spot Euros are quoted at 1.5450 = 1. The net profit or loss on this option will be: (a) a profit of 4.50 Euro cents (b) a profit of 3.30 Euro cents (c) a loss of 1.20 Euro cents (d) a loss of 3.50 Euro cents (e) neither a profit nor loss, since you will not exercise the option