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A speculator purchases a put option on Canadian dollars(with a strike price of $0.86) for $.015 per unit. A Canadian dollar option represents 62,500 units.

A speculator purchases a put option on Canadian dollars(with a strike price of $0.86) for $.015 per unit. A Canadian dollar option represents 62,500 units. At the time of the purchase, the spot rate of the Canadian dollar is $0.87 and continually rises to $0.89 by the expiration date. What is the highest net profit possible for the speculator based on the information above? (Points : 3.5)

$0 -$937.50 -$625.00 +$312.50 -$1,562.50

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