AT&T 8:10 PM 95%- Done International Fisher Effect Assign... 2, (4 Points) The US, three-month nominal interest rate (unannualized) is 4%. The Canadian three-month nominal interest rate (unan nualized) is 1%. A call option with a three-month expiration date on Canadian dollarsis available for a premium of $0.02 and a strike price of $0.7700. The spot rate of the Canadian dollar is $0.7600. Assume that you believe in International Fisher Effect (IFE) Forecast the dollar amount of your profit or loss from buying a call option contract specifying C$200,000. 2 points) Forecast the USD paid by A&M company which uses the call option to hedge against its 3 month payables of C$ 200,000. (2 points) a. b. ANS: Please label a/b in your response to the two sub-questions respectively