Consider a one-year call option that gives the holder the right but not the obligation to buy 30,000 currently trading at $1.50/ for $1.80/. In the next period, the pound can increase to $2.40/ or decrease to $0.96/. The risk free rate is 2.01% in dollars and 1.0% in pounds. Calculate the value today of this option in dollars within $10 of the correct answer.

Consider a one-year call option that gives the holder the right but not the obligation to buy 30,000 currently trading at $1.50/ for $1.80/. In the next period, the pound can increase to $2.40/ or decrease to $0.96/. The risk free rate is 2.01% in dollars and 1.0% in pounds. Calculate the value today of this option in dollars within $10 of the correct