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Afer to the table below. The option giving the purchase the right to sell pounds in June anciero / cents per British Pound for a

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Afer to the table below. The option giving the purchase the right to sell pounds in June anciero / cents per British Pound for a total price of Select April 19, 2002, British Pound Option Prices (cents per pound, 62,500 pound contracts). Option & Strike Calls-Last Puts-Last Underlying Price May June July May June July 1448 1440 0.88 1.42 1.42 0.52 1.06 1448 1450 0.42 1.02 1448 1460 0.20 0.68 0.72 2.32 D Question 17 Slace the North American Free Trade Agreement, the firm Play-It-Again-Exports has begun exporting soccer balls and knee pads to Medica Suppose that Play-It-Again-Exports is subject to a 30% tax when it earns profits less than or equal to $10 million and 40% wher cros profits that exceed $10 million. The table below shows hedged and unhedged profits in dollars under three different cacharee

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