Question
113. The premium on a pound put option is $.04. The spot rate and the exercise price is $1.52. The spot rate at the time
113.
The premium on a pound put option is $.04. The spot rate and the exercise price is
$1.52. The spot rate at the time of this option expiration is expected to be $1.51. The speculators
could profit by:
a.writing a put option.
b.buying a put option.
c.buying a call option
d.writing a call option and buying a call option simultaneously.
ANS:D PTS:
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Macroeconomics Canada in the Global Environment
Authors: Michael Parkin, Robin Bade
8th edition
321778103, 978-0321808370, 321808371, 978-0321778109
