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Question 17 2 pts You are interested in a variety of 6-month options on the Euro (); the spot rate is now $1.120. The US
Question 17 2 pts You are interested in a variety of 6-month options on the Euro (); the spot rate is now $1.120. The US short-term interest rate is 0.00%. You run many (risk-neutral) simulations on possible (dollar) values of the over the next 6 months. One simulation result is below. "Final" is the simulated spot value of the in 6 months; "Mean/maximum/minimum" are taken across simulated spot values over the next 6 months. Simulation # Final Mean Minimum Maximum 1.173 1.107 1.124 1.091 In simulation 3, what is the final value of a barrier (knock-in, or down-and-in) call with strike 1.13? It knocks in at price 1.10
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