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TST Hedge Fund wrote a call on 1,000,000 one year ago with a strike price of $1.2715 per pound expiring today. Today the spot rate

TST Hedge Fund wrote a call on 1,000,000 one year ago with a strike price of $1.2715 per pound expiring today. Today the spot rate is $1.2566 per pound. Please describe what you expect TST will do (or will have to do) today. I.e., please describe what cash flows will happen (on the expiration day) for the writer of this call.

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