Question
A U.S. corporation has purchased currency put options to hedge a 100,000 Canadian dollar (CAD) receivable. The premium is $0.01 per CAD and the exercise
A U.S. corporation has purchased currency put options to hedge a 100,000 Canadian dollar (CAD) receivable. The premium is $0.01 per CAD and the exercise price of the option is $0.75 per CAD. If the spot rate at the time of maturity is $0.85 per CAD, what is the net amount of US dollar received by the corporation if it acts rationally,
A) $74,000. B) $84,000. C) $75,000. D) $85,000.
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The Cyber Attack Survival Manual
Authors: Heather Vescent ,Nick Selby
1st Edition
1681886545, 978-1681886541
