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A call option on the CAD (canadian dollar) with a strike price of 1.1 USD/CAD and a maturity of 6 months is currently trading at
A call option on the CAD (canadian dollar) with a strike price of 1.1 USD/CAD and a maturity of 6 months is currently trading at a bid - ask of 0.10 - 0.11 USD. If you buy these options today on 10,000 CAD, and at maturity the CAD is quoted at a bid - ask of 1.28 - 1.3 USD/CAD, what is your net profit on this position? Note: pay careful attention to which side of the quote you will be trading with at each step.
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