Question 25 15 pts In 2018, the US allowed companies with profit from oversea operations to bring in those profits at a flat tax rate of 15%. AAPL has $90 billion worth of profit from European operations it planned to bring back. The company planned to bring back the profits back into the US in 6 months after the law was passed. Assuming that the exchange rate between USD and Euro was $1.1235. The exchange rate forecast was for Euro to appreciate against the USD, but the exact increase is not known. AAPL decided to hedge with derivatives and purchased enough options to cover the full amount. The call option with strike price of $1.1335 per Euro is selling for the price of $0.005 USD. The put option with strike price of $1.1335 is selling for $0.01. Which option should AAPL use? What is the profit/loss from the hedge if the exchange rate turns out to be $1.1425 in 6 months? What if the rate is $1.1295? Edit View Insert Format Tools Table 12pt Paragraph B I UAV Tev : LA O words >