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Mike Suerth sold a call option on New Zealand dollars for A$0.0147 per unit. The strike price was A$0.55 and the spot rate at the
Mike Suerth sold a call option on New Zealand dollars for A$0.0147 per unit. The strike price was A$0.55 and the spot rate at the time the option was exercised was A$0.62. Assume Mike did not obtain New Zealand dollars until the option was exercised. Also, there are 10,000 units in a New Zealand dollar option. What was Mikes net profit/loss on the call option?
Select one:
a. between A$5,400 and A$5,600
b. between A$6,100 and A$6,300
c. between -A$560 and -AS$550
d. between A$140 and A$160
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