A speculator expects the Canadian dollar to reach $1.0700 in June next year. If the following two options contracts are available today for June: - a call option with a strike price of $1.0450/C$ with a premium of $0.0192/C$ --- a put option with a strike price of $1.0600/C$ with a premium of $0.0146/C$ (a) Which one should he buy if he's a rational investor? Why? (b) If the spot rate at the time the C$ option expires was $1.0410/0$. Should he exercise the option? Why? What would be his net profit or loss per Canadian dollar? (c) If the spot rate at the expiration was $1.0700/C$. Should he exercise the option? Why? What would be his net profit or loss per Canadian dollar? (d) What is the break even spot rate to get zero profit? You need to show your work so that full credits can be given. Only showing the final answer correctly will only earn you partial credits