Abdalla is a currency trader for RBC Canada. He believes that the Canadian dollar CS) will depreciate the US 120 days. The current spot rate is $1.2531/5. He may choose between the following options on the Canadian dollar Option Put on CS Call on CS Strike Price C$1.24215 C$1.2421/5 Premium $0.00004/05 $0.00059/CS 1. Recommend whether he should buy a put or a call on Canadian dollar. Justify your answet. 2. Estimate the breakeven price on the option purchased in part (a). 3. Using your answer from part (a), estimate gross profit and net profit if the spot rate at the end of 120 days is indeed C-13028/5. 4. Using your answer from part (a), re-estimate the gross profit and net profit if the spot rate at the end of 120 days is $1.201015