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Nice Ubishi up is Question 6 Arnold International Inc. (AN), headquartered in California, just bought electronic equipment from a supplier In Japan for JPY 100,000,000

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Nice Ubishi up is Question 6 Arnold International Inc. (AN), headquartered in California, just bought electronic equipment from a supplier In Japan for JPY 100,000,000 with the payment due in three months. If Al uses currency options and exercises them, what is the value of its payables in three months? Current Spot Rate WACC Premium on 3-month call option (Strike price = JPY120/USD) Premium on 3-month put option (Strike price = JPY120/USD) JPY118/USD 12% Per annum 1.50% 1.35% USD 815,875.71 USD 848,608.76 USD 844.244.35 USD 846,426.55 USD 816,384.18

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