3) What type of option on US dollar would speculators buy if they expect US dollar against TL (Turkish Lira) to increase more than the market believed? Explain how the payoff profile of such purchase looks like under different scenarios on the realized spot rates (Let the premium be TL1000). Explain under what condition the speculators consider writing off their option contract, and if they do so, explain how the payoff profile of writing off the option looks like.