Question
A. You purchase a call option for Yen with a strike price of $0.8577/Yen. You pay a premium of $0.0010/Yen to buy the option. The
A. You purchase a call option for Yen with a strike price of $0.8577/Yen. You pay a premium of $0.0010/Yen to buy the option. The contract size is Yen150,000. If the option expires when the spot price is $0.8685/Yen, what is your net profit?
B. You purchase a put option for Yen with a strike price of $0.8577/Yen. You pay a premium of $0.0010/Yen to buy the option. The contract size is Yen150,000. If the option expires when the spot price is $0.8685/Yen, what is your net profit?
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Bond Markets Analysis and Strategies
Authors: Frank J.Fabozzi
9th edition
133796779, 978-0133796773
