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Given the following information on a U.S. exchange: Today's Spot: EUR/USD 1.19 Spot rate (at expiry) 1.23 EUR/USD Monthly Deliverable Call Options Time to expiry:
Given the following information on a U.S. exchange: Today's Spot: EUR/USD 1.19 Spot rate (at expiry) 1.23 EUR/USD Monthly Deliverable Call Options Time to expiry: 1 month Contract size 125,000 Euro Strike 1.1900 Option Premium 0.89c US What is the net USD return to a speculator from purchasing this option and holding it until maturity? 0 None of the other options are correct 1112.5 4250 3887.5
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