a) Assume you have bought a call option on 100,000 Euros against Czech Crowns. The strike price is 27.000 EUR/CZK and the premium is 0.054 CZK per Euro. What will be your net profit (loss) on the position if the spot rate at the expiration day is 27.150 EUR/CZK? b) Suppose the current spot rate is $1.55// on the first of January. By year's end, the US CPI is expected to climb from 144 to 150 and the UK CPI is expected to climb from 120 to 130 . According to PPP, what is the expected spot rate on December 31 ? c) Suppose the spot rate is $0.60//DM,i$,6 is 6.5% per annum and iDM,6 is 9% per annum. a