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An investor bought a call option on Mexican pesos for $0.0001 per unit. The option has a strike price of $0.049 and covers 100,000 pesos.

An investor bought a call option on Mexican pesos for $0.0001 per unit. The option has a strike price of $0.049 and covers 100,000 pesos. Assume that the option can only be exercised on its expiration date. The net to the investor if the exchange rate is $0.057 per peso on the expiration date (in USD) is

A) profit; $5,700

B) loss; $5,700

C) profit; $790

D) loss; $790

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