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Airline A buy 100 oil call option contracts on the 1st of January, the spot price of is 33 USD per barrel. The exercise price

Airline A buy 100 oil call option contracts on the 1st of January, the spot price of is 33 USD per barrel. The exercise price is quoted at 34.5 USD per barrel. The maturity of this option is the 1st of July. On the 1st of July spot price USD/THB the spot price is 32.5 USD per barrel. Assume that option premium is 0.1 USD per one unit of currency and paid at the beginning of the contract. 1 contract include 100 unit of oil. Calculate the net gain/loss of the airline in USD.

a. -19,000

b. -21,000

c. -20,000

d. -1,000

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