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the U.S government is purchasing medications from British pharamceutical for GBP 10,659,875. To hedge its position, the government entered in a call option contract with

the U.S government is purchasing medications from British pharamceutical for GBP 10,659,875. To hedge its position, the government entered in a call option contract with excerise price of $1.43 / GBP and premium of $0.04 / GBP. How much will be the ultimate dollar cost if medications if at expirstion to spot rate is $1.37 / GBP.

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