Question
An importer, Sarah, needs to protect her one year account payable of 61, 000 by a call option for $.01 per pound premium to avoid
An importer, Sarah, needs to protect her one year account payable of 61, 000 by a call option for $.01 per pound premium to avoid pound appreciation against USD.
X= $1.50 per Option size 31,250 units S0 =$1.52 per Exercised at St= $1.54/
How much USD would she save per with option contract?
| $0.02 | ||
| $0.04 | ||
| $0.03 | ||
| $0.01 |
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Fundamental Accounting Principles
Authors: John J. Wild, Ken W. Shaw, Barbara Chiappetta
20th Edition
1259157148, 78110874, 9780077616212, 978-1259157141, 77616219, 978-0078110870
