An investor speculates that exchange between Dollar and Pound will be $1.30/ in August and he trades August expiration futures contract with settlement price of $1.24/. Calculate his profit, given that the contract size is 62,500 and his speculation comes true. (We are in April).

Question 9 options:

a)

3,750

b)

7,500

c)

10,000

d)

11,250