A speculator observes that the yen-dollar 12-month forward exchange rate is yen 110/\$1 and expects the spot yen-dollar exchange rate to be yen 105/$1 in a year's time. The speculator buys or sells $1 million forward today. Assume that the speculator is proved right and the spot exchange rate is yen 105/$1 in a year's time. Then the speculator will have: Select one: a. bought dollars forward and made a profit of $45,455 b. sold dollars forward and made a profit of $45,455 c. sold dollars forward and made a profit of yen 5,000,000 d. bought dollars forward and made a profit of yen 5,000,000 A speculator observes that the yen-dollar 12-month forward exchange rate is yen 110/\$1 and expects the spot yen-dollar exchange rate to be yen 105/$1 in a year's time. The speculator buys or sells $1 million forward today. Assume that the speculator is proved right and the spot exchange rate is yen 105/$1 in a year's time. Then the speculator will have: Select one: a. bought dollars forward and made a profit of $45,455 b. sold dollars forward and made a profit of $45,455 c. sold dollars forward and made a profit of yen 5,000,000 d. bought dollars forward and made a profit of yen 5,000,000